diff --git a/packages/cli/generators/relation/index.js b/packages/cli/generators/relation/index.js
index 65512c8316c6..25f140721943 100644
--- a/packages/cli/generators/relation/index.js
+++ b/packages/cli/generators/relation/index.js
@@ -244,7 +244,6 @@ module.exports = class RelationGenerator extends ArtifactGenerator {
           );
           modelList = modelList.concat(subdirectoryModelList);
         } catch (err) {
-          // Handle errors for subdirectory model retrieval
           console.error(
             `Error retrieving models from subdirectory ${subdirectory}: ${err}`,
           );
diff --git a/packages/cli/generators/repository/index.js b/packages/cli/generators/repository/index.js
index 1ecf64e8f9d7..8ab2ba7a01f3 100644
--- a/packages/cli/generators/repository/index.js
+++ b/packages/cli/generators/repository/index.js
@@ -101,14 +101,48 @@ module.exports = class RepositoryGenerator extends ArtifactGenerator {
       this.artifactInfo.modelDir,
       utils.getModelFileName(modelName),
     );
-    try {
-      fileContent = this.fs.read(modelFile, {});
-    } catch (err) {
-      debug(`${ERROR_READING_FILE} ${modelFile}: ${err.message}`);
-      return this.exit(err);
+
+    // Check if the model file exists directly in the modelDir
+    if (fs.existsSync(modelFile)) {
+      try {
+        fileContent = this.fs.read(modelFile, {});
+      } catch (err) {
+        debug(`${ERROR_READING_FILE} ${modelFile}: ${err.message}`);
+        return this.exit(err);
+      }
+
+      return tsquery.getIdFromModel(fileContent);
+    }
+
+    // If the model file is not found directly, search in subdirectories
+    const subdirectories = await utils.getSubdirectories(
+      this.artifactInfo.modelDir,
+    );
+
+    for (const subdirectory of subdirectories) {
+      const subdirectoryModelFile = path.join(
+        subdirectory,
+        utils.getModelFileName(modelName),
+      );
+
+      if (fs.existsSync(subdirectoryModelFile)) {
+        try {
+          fileContent = this.fs.read(subdirectoryModelFile, {});
+        } catch (err) {
+          debug(
+            `${ERROR_READING_FILE} ${subdirectoryModelFile}: ${err.message}`,
+          );
+          return this.exit(err);
+        }
+
+        return tsquery.getIdFromModel(fileContent);
+      }
     }
 
-    return tsquery.getIdFromModel(fileContent);
+    // If the model file is not found in any subdirectory, return an error
+    return this.exit(
+      new Error(`Model ${modelName} not found in any subdirectory.`),
+    );
   }
 
   /**
@@ -344,7 +378,6 @@ module.exports = class RepositoryGenerator extends ArtifactGenerator {
           );
           modelList = modelList.concat(subdirectoryModelList);
         } catch (err) {
-          // Handle errors for subdirectory model retrieval
           console.error(
             `Error retrieving models from subdirectory ${subdirectory}: ${err}`,
           );