Outlook could not create the work file

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Outlook version
Outlook 2007
Email Account
IMAP
I get this error message "Outlook could not create the work file. Check the temp environment" when opening up my Outlook 2007. I have researched this for the past few days online and tried the following:

*Checked the registry HKEY_CURRENT_USER\Software\Microsoft\Windows\Current Version\Explorer\User Shell Folders\Cache and it pointed to %USERPROFILE%\AppData\Local\Microsoft\Windows\Temporary Internet Files.

*I scheduled a chkdisk at start up.

*Cleared out all temp files

*IE > Tools > the folder is pointing to the temp folder.

It is a Windows 7 32 bit machine that I use at work. This is very frustrating as I have tried most things and nothing seems to work.

Any ideas??? Thanks in advance
 
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