How to Fix - Cannot install program due to Insufficient disk space, despite having 200+ free gb?

Cannot install program due to Insufficient disk space, despite having 200+ free gb

This is sort of a continuation of my old question here: http://answers.microsoft.com/en-us/windows/forum/windows_7-hardware/removing-all-references-to-reformatted-drive-in/02965c66-13ed-468e-ae86-3b27c68f4a7e

I was able to remove the specific program I wanted to reinstall, I had to do a lot of registry editing and downloaded spybot and revo uninstaller in order to completely remove all references to it.
Now when I attempt to install the program, it no longer tries
to find where it was located before, which is good.
However, I've tried installing it on C: drive which has about 30 gigabytes of free space, and on F: drive which has over 200 gigabytes of free space.
This specific program (Steam) is pretty small, yet it
says that there is not enough disk space.

I've ran disk cleanup, manually cleaned out my temp folders, I've ran the installer/uninstaller troubleshooter (which found some corrupt patch keys and fixed them), all to no avail.
What could be causing this issue?

Thanks for any help in advance.

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