diff --git a/Converters/ArcGIS/Speckle.Converters.ArcGIS3/ArcGISConversionSettingsFactory.cs b/Converters/ArcGIS/Speckle.Converters.ArcGIS3/ArcGISConversionSettingsFactory.cs
index a26000363..5ae9ae250 100644
--- a/Converters/ArcGIS/Speckle.Converters.ArcGIS3/ArcGISConversionSettingsFactory.cs
+++ b/Converters/ArcGIS/Speckle.Converters.ArcGIS3/ArcGISConversionSettingsFactory.cs
@@ -6,6 +6,7 @@
 using Speckle.Converters.ArcGIS3.Utils;
 using Speckle.Converters.Common;
 using Speckle.InterfaceGenerator;
+using Speckle.Sdk.Logging;
 
 namespace Speckle.Converters.ArcGIS3;
 
@@ -39,7 +40,10 @@ public Uri GetDatabasePath()
         throw new ArgumentException($"Project directory {Project.Current.URI} not found");
       }
       var fGdbPath = new Uri(parentDirectory.FullName);
-      return new Uri($"{fGdbPath}/{FGDB_NAME}");
+      Uri firstDatabasePath = new Uri($"{fGdbPath}/{FGDB_NAME}");
+
+      Uri databasePath = ValidateDatabasePath(firstDatabasePath);
+      return databasePath;
     }
     catch (Exception ex)
       when (ex
@@ -54,8 +58,63 @@ or System.Security.SecurityException
     }
   }
 
-  public Uri AddDatabaseToProject(Uri databasePath)
+  public Uri ValidateDatabasePath(Uri originalGatabasePath)
   {
+    var fGdbName = originalGatabasePath.Segments[^1];
+    var parentFolder = Path.GetDirectoryName(originalGatabasePath.AbsolutePath);
+    if (parentFolder == null)
+    {
+      // POC: customize the exception type
+      throw new ArgumentException($"Invalid path: {originalGatabasePath}");
+    }
+
+    Uri databasePath = originalGatabasePath;
+    Item folderToAdd = ItemFactory.Instance.Create(parentFolder);
+    if (folderToAdd is null)
+    {
+      // ArcGIS API doesn't show it as nullable, but it is
+      // Likely the project location is inaccessible  with not enough permissions
+      // Store inside Speckle folder
+
+      string speckleFolder = SpecklePathProvider.UserSpeckleFolderPath; //Path.GetTempPath();
+      // create folder in Speckle repo
+      string speckleArcgisFolder = Path.Join(speckleFolder, $"ArcGIS_gdb");
+      bool existsArcgisFolder = Directory.Exists(speckleArcgisFolder);
+      if (!existsArcgisFolder)
+      {
+        Directory.CreateDirectory(speckleArcgisFolder);
+      }
+
+      // create a project-specific folder
+      string projectFolderName;
+      string? folderContainingProject = Path.GetDirectoryName(parentFolder);
+      if (folderContainingProject == null)
+      {
+        projectFolderName = "default";
+      }
+      else
+      {
+        projectFolderName = Path.GetRelativePath(folderContainingProject, parentFolder);
+      }
+
+      string tempParentFolder = Path.Join(speckleArcgisFolder, $"{projectFolderName}");
+      bool exists = Directory.Exists(tempParentFolder);
+      if (!exists)
+      {
+        Directory.CreateDirectory(tempParentFolder);
+      }
+
+      // repeat: try adding a folder item again
+      folderToAdd = ItemFactory.Instance.Create(tempParentFolder);
+      if (folderToAdd is null)
+      {
+        throw new ArgumentException(
+          $"Project path: '{parentFolder}' and Temp folder: '{tempParentFolder}' likely don't have write permissions."
+        );
+      }
+      databasePath = new Uri(Path.Join(tempParentFolder, fGdbName), UriKind.Absolute);
+    }
+
     // Create a FileGeodatabaseConnectionPath with the name of the file geodatabase you wish to create
     FileGeodatabaseConnectionPath fileGeodatabaseConnectionPath = new(databasePath);
     // Create actual database in the specified Path unless already exists
@@ -69,13 +128,13 @@ public Uri AddDatabaseToProject(Uri databasePath)
       // geodatabase already exists, do nothing
     }
 
+    return databasePath;
+  }
+
+  public Uri AddDatabaseToProject(Uri databasePath)
+  {
     // Add a folder connection to a project
     var parentFolder = Path.GetDirectoryName(databasePath.AbsolutePath);
-    if (parentFolder == null)
-    {
-      // POC: customize the exception type
-      throw new ArgumentException($"Invalid path: {databasePath}");
-    }
     var fGdbName = databasePath.Segments[^1];
     Item folderToAdd = ItemFactory.Instance.Create(parentFolder);
     // POC: QueuedTask