Ioannis,

I let PBP and MPLAB install to their default directories, but my actual code and related project files are kept here.
C:\MAC\My Dropbox\PIC PROGS\"project name here"
Cad/CNC files and such are in a sub directory of the above.

Another benefit from having an off site backup... My CNC machine's PC is also DropBoxed so the machine always has the latest files automatically.

No problems with the path, the path name is still under the length limit this way.