I have just installed Meteor version 0.5.9 (45fef52095) to my CentOS release 6.3 (Final) server (Linux version 2.6.32-279.19.1.el6.i686 (mockbuild@c6b8.bsys.dev.centos.org)
If you get a notification with something like
Local folder has run out of space
Try going to
cd .meteor/local/bundler-cache/
and deleting everything in that directory. Its a cache so it shouldnt affect too much. It seems to grow uncontrollably sometimes.
EDIT
Combining all the other answers try
rm -rf .meteor/local/db/mongod.lock .meteor/local/db/local.* .meteor/local/db/journal .meteor/local/bundler-cache/linker/
If this is still not working you might have to free up some space on your disk. Do so by checking via
free -m
or looking at your inodes and how much space is being used up via
df -h