To optimize performance TFS uses a temp folder to get the files that you view. By default the location of that folder is %TMP%\TFSTemp. the TMP environment variable.
Unfortunately there is no option in Visual Studio or Team Explorer to change this location. The only way I found to change it, is by changing the %TMP% environment variable itself:
1: set TMP=D:\Temp
2: set TEMP=%TMP%
3: md %TMP%
Remark: Notice that it is possible that the same environment variable is used for other applications too. So be careful when changing this value.