I am in the process of doing something similar – I am copying all my files to the root, then plan on changing the setting in the General–>Settings area to reference the root location.
You don’t need to put everything to the root, if you wish to have teh installation in a subfolder.
What you need is this code in “bp-custom.php”, which goes in the plugins directory:
// Getting rid of the subfolder in URLs/permalinks
function my_bp_override_core_domain() {
$domain = get_bloginfo('url');
return $domain;
}
add_filter('bp_core_get_root_domain','my_bp_override_core_domain');
Credits for this go to r-a-y, who sort it out for me.
With this, your permalinks structure should be without the subfolder.
Still, I think I’m going to write something about this whole topic.
I know that’s possible with the normal version of wordpress, but this is WordPress MU (2.9.2) and I can’t find any reference to the root location in the General–>Settings area…
oh, thanks! I’ll try that
gian-ava: can’t find a file called bp-custom.php anywhere… am i supposed to create one and put in the plugins/buddypress/ ?
Actully, I didn’t pay attention on the fact that you are on WPMU, for which I got no experience so far.
Anyway, if I am not wrong, you can put the code in “functions.php” in your theme or child theme, or have a file (create one) called “bp-custom.php” and put that in the plugins directory, not “buddypress” directory, just in the “plugins” directory.
That will act like a plugin.
Try and let me know.
sorry, it didn’t work.. i put the code in the functions.php-file. got errors like “Call to undefined function add_filter()”
Did you enclose it into php tags?
<?php …?>
@kallemagnusson, I originally had the same issue as you. I always install WP in a sub folder and BP does not seem to cope too well with it. The fix that @gian-ava and @r-a-y recommended worked only on some of the links. Since I am very new to BuddyPress and this is a brand new site, I ended up moving the lot up one level so WP is now in the root folder. This will do for a start (path of least resistance) 
Did you find a better solution?
r-a-y’s redirection trick doesn’t work for me in WPMU. Manually changing the location is going to look something like this:
HOW TO MOVE WPMU/BP TO A NEW LOCATION
1. change url in blog “edit” admin menu
2. rename bp folder (or move files to root)
3. edit wp-config … fix 2 instances
4. open phpmyadmin … search and replace to fix many instances, particularly in the activity stream. Because you have to do this one row at a time (no MySQL global search and replace), it will take quite a while
5. edit .htaccess RewriteBase
AKA a lot of work.
There must be an .htaccess trick for this??
