I recently spent a few hours trying to figure out how to redirect the location of the Outlook offline cache file from the default location on the c-drive to a d-drive. It seems that the Outlook Customization Tool (OCT) don't like you to have spaces in the path variable found in OCT under
Features -> Modify user settings -> Microsoft Office Outlook 2007 -> Miscellaneous -> PST settings. Here the variables "
Default location for PST and OST" and "
Default location for OST files" need you to use a path without spaces (yes i tried with and without " around the path).
I ended up using
D:\Outlook\%username% as the path, and that worked for me. The path i originally tried to use was
D:\Documents and Settings\%username%\Local Settings\Application Data\Microsoft\Outlook.
Please note that it seems you need to have the %username% as the last path, and that the folders need to be pre-created for this to work. It is clearly a bug.