In Windows 7 or later, the default favorite location is C:\Users\[username]\Favorites folder. There are two ways to change it to diffrenct location.
Changing the Default Location in the Registry
1. Bring up Registry Edtor by typing "regedit".
2. Navigate to the following key on the left.
HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Explorer\Shell Folders
3. Double-click the Favorites item on the right. Enter the full path for the new location for the Favorites folder in the Value data edit box. Click OK.