diff --git a/CHANGELOG.md b/CHANGELOG.md
index 92d19ac7b4..9f76b4ebb3 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -495,6 +495,7 @@
 * Node: Added LINDEX command ([#999](https://github.com/valkey-io/valkey-glide/pull/999))
 * Python, Node: Added ZPOPMAX command ([#996](https://github.com/valkey-io/valkey-glide/pull/996), [#1009](https://github.com/valkey-io/valkey-glide/pull/1009))
 * Python: Added DBSIZE command ([#1040](https://github.com/valkey-io/valkey-glide/pull/1040))
+* Core: Log directory can now be modified by setting the environment variable `GLIDE_LOG_DIR` ([#2704](https://github.com/valkey-io/valkey-glide/issues/2704))
 
 #### Features
 
@@ -514,3 +515,4 @@
 Preview release of **GLIDE for Redis** a Polyglot Redis client.
 
 See the [README](README.md) for additional information.
+
diff --git a/logger_core/src/lib.rs b/logger_core/src/lib.rs
index fd2acd0640..a31e4fdbc2 100644
--- a/logger_core/src/lib.rs
+++ b/logger_core/src/lib.rs
@@ -55,6 +55,7 @@ pub static INITIATE_ONCE: InitiateOnce = InitiateOnce {
 };
 
 const FILE_DIRECTORY: &str = "glide-logs";
+const ENV_GLIDE_LOG_DIR: &str = "GLIDE_LOG_DIR";
 
 /// Wraps [RollingFileAppender] to defer initialization until logging is required,
 /// allowing [init] to disable file logging on read-only filesystems.
@@ -117,6 +118,21 @@ impl Level {
     }
 }
 
+/// Attempt to read a directory path from an environment variable. If the environment variable `envname` exists
+/// and contains a valid path - this function will create and return that path. In any case of failure,
+/// this method returns `None` (e.g. the environment variable exists but contains an empty path etc)
+pub fn create_directory_from_env(envname: &str) -> Option<String> {
+    let Ok(dirpath) = std::env::var(envname) else {
+        return None;
+    };
+
+    if dirpath.trim().is_empty() || std::fs::create_dir_all(&dirpath).is_err() {
+        return None;
+    }
+
+    Some(dirpath)
+}
+
 // Initialize the global logger to error level on the first call only
 // In any of the calls to the function, including the first - resetting the existence loggers to the new setting
 // provided by using the global reloadable handle
@@ -131,17 +147,21 @@ pub fn init(minimal_level: Option<Level>, file_name: Option<&str>) -> Level {
 
         let (stdout_layer, stdout_reload) = reload::Layer::new(stdout_fmt);
 
+        // Check if the environment variable GLIDE_LOG is set
+        let logs_dir =
+            create_directory_from_env(ENV_GLIDE_LOG_DIR).unwrap_or(FILE_DIRECTORY.to_string());
         let file_appender = LazyRollingFileAppender::new(
             Rotation::HOURLY,
-            FILE_DIRECTORY,
+            logs_dir,
             file_name.unwrap_or("output.log"),
         );
+
         let file_fmt = tracing_subscriber::fmt::layer()
             .with_writer(file_appender)
             .with_filter(LevelFilter::OFF);
         let (file_layer, file_reload) = reload::Layer::new(file_fmt);
 
-        // Enable logging only from allowed crates
+        // If user has set the environment variable "RUST_LOG" with a valid log verbosity, use it
         let log_level = if let Ok(level) = std::env::var("RUST_LOG") {
             let trace_level = tracing::Level::from_str(&level).unwrap_or(tracing::Level::TRACE);
             LevelFilter::from(trace_level)
@@ -149,6 +169,7 @@ pub fn init(minimal_level: Option<Level>, file_name: Option<&str>) -> Level {
             LevelFilter::TRACE
         };
 
+        // Enable logging only from allowed crates
         let targets_filter = filter::Targets::new()
             .with_target("glide", log_level)
             .with_target("redis", log_level)
@@ -184,8 +205,10 @@ pub fn init(minimal_level: Option<Level>, file_name: Option<&str>) -> Level {
                 });
         }
         Some(file) => {
-            let file_appender =
-                LazyRollingFileAppender::new(Rotation::HOURLY, FILE_DIRECTORY, file);
+            // Check if the environment variable GLIDE_LOG is set
+            let logs_dir =
+                create_directory_from_env(ENV_GLIDE_LOG_DIR).unwrap_or(FILE_DIRECTORY.to_string());
+            let file_appender = LazyRollingFileAppender::new(Rotation::HOURLY, logs_dir, file);
             let _ = reloads
                 .file_reload
                 .write()
@@ -247,3 +270,39 @@ pub fn log<Message: AsRef<str>, Identifier: AsRef<str>>(
         Level::Off => (),
     }
 }
+
+#[cfg(test)]
+mod tests {
+    use super::*;
+
+    #[test]
+    fn test_directory_from_env() {
+        let dir_path = format!("{}/glide-logs", std::env::temp_dir().display());
+        // Case 1: try to create an already existing folder
+        // make sure we are starting fresh
+        let _ = std::fs::remove_dir_all(&dir_path);
+        // Create the directory
+        assert!(std::fs::create_dir_all(&dir_path).is_ok());
+
+        std::env::set_var(ENV_GLIDE_LOG_DIR, &dir_path);
+        assert!(create_directory_from_env(ENV_GLIDE_LOG_DIR).is_some());
+        assert!(std::fs::metadata(&dir_path).is_ok());
+
+        // Case 2: try to create a new folder (i.e. the folder does not already exist)
+        let _ = std::fs::remove_dir_all(&dir_path);
+
+        // Create the directory
+        assert!(std::fs::create_dir_all(&dir_path).is_ok());
+        assert!(std::fs::metadata(&dir_path).is_ok());
+
+        std::env::set_var(ENV_GLIDE_LOG_DIR, &dir_path);
+        assert!(create_directory_from_env(ENV_GLIDE_LOG_DIR).is_some());
+
+        // make sure we are starting fresh
+        let _ = std::fs::remove_dir_all(&dir_path);
+
+        // Case 3: empty variable is not acceptable
+        std::env::set_var(ENV_GLIDE_LOG_DIR, "");
+        assert!(create_directory_from_env(ENV_GLIDE_LOG_DIR).is_none());
+    }
+}
diff --git a/python/requirements.txt b/python/requirements.txt
index 93c90b2cac..cffc0870cb 100644
--- a/python/requirements.txt
+++ b/python/requirements.txt
@@ -5,3 +5,4 @@ pytest
 pytest-asyncio
 typing_extensions==4.8.0;python_version<"3.11"
 pytest-html
+pyrsistent