diff --git a/eng/common/scripts/TypeSpec-Project-Process.ps1 b/eng/common/scripts/TypeSpec-Project-Process.ps1
index 87004c9b494e..a27036a80a45 100644
--- a/eng/common/scripts/TypeSpec-Project-Process.ps1
+++ b/eng/common/scripts/TypeSpec-Project-Process.ps1
@@ -165,15 +165,38 @@ if (Test-Path $tmpTspConfigPath) {
 
 $sdkProjectFolder = ""
 if ($generateFromLocalTypeSpec) {
+  Write-Host "Generating sdk code based on local type specs at specRepoRoot: $specRepoRoot."
   $sdkProjectFolder = Get-TspLocationFolder $tspConfigYaml $sdkRepoRootPath
   $tspLocationYamlPath = Join-Path $sdkProjectFolder "tsp-location.yaml"
   if (!(Test-Path -Path $tspLocationYamlPath)) {
-    Write-Error "Failed to find tsp-location.yaml in '$sdkProjectFolder', please make sure to provide CommitHash and RepoUrl parameters along with the local path of tspconfig.yaml in order to create tsp-location.yaml."
-    exit 1
+    # try to create tsp-location.yaml using HEAD commit of the local spec repo
+    Write-Warning "Failed to find tsp-location.yaml in '$sdkProjectFolder'. Trying to create tsp-location.yaml using HEAD commit of the local spec repo then proceed the sdk generation based upon local typespecs at $specRepoRoot. Alternatively, please make sure to provide CommitHash and RepoUrl parameters when running this script."
+    # set default repo to Azure/azure-rest-api-specs
+    $repo = "Azure/azure-rest-api-specs"
+    try {
+      Push-Location $specRepoRoot
+      $CommitHash = $(git rev-parse HEAD)
+      $gitOriginUrl = (git remote get-url origin)
+      if ($gitOriginUrl -and $gitOriginUrl -match '(.*)?github.com:(?<repo>[^/]*/azure-rest-api-specs(-pr)?)(.git)?') {
+        $repo = $Matches["repo"]
+        Write-Host "Found git origin repo: $repo"
+      }
+      else {
+        Write-Warning "Failed to find git origin repo of the local spec repo at specRepoRoot: $specRepoRoot. Using default repo: $repo"
+      }
+    }
+    catch {
+      Write-Error "Failed to get HEAD commit or remote origin of the local spec repo at specRepoRoot: $specRepoRoot."
+      exit 1
+    }
+    finally {
+      Pop-Location
+    }
+    $sdkProjectFolder = CreateUpdate-TspLocation $tspConfigYaml $TypeSpecProjectDirectory $CommitHash $repo $sdkRepoRootPath  
   }
 } else {
   # call CreateUpdate-TspLocation function
-  $sdkProjectFolder = CreateUpdate-TspLocation $tspConfigYaml $TypeSpecProjectDirectory $CommitHash $repo $sdkRepoRootPath  
+  $sdkProjectFolder = CreateUpdate-TspLocation $tspConfigYaml $TypeSpecProjectDirectory $CommitHash $repo $sdkRepoRootPath
 }
 
 # call TypeSpec-Project-Sync.ps1