After so much wait, with the new Exchange Updates released on June 2017, now will be possible to recover item their original folder in Exchange 2016.
However, there are still some limitations:

1. First, to use this functionality, the user’s mailbox must be on a Mailbox server that has CU6 installed. The user must also use Outlook on the web to recover to the original folder; neither Outlook for Windows or Outlook for Mac support this functionality, today.
2. If an item does not have an LAPEID stamped, then the item will be recovered to its folder type origin – Inbox for mail items, Calendar for calendar items, Contacts for contact items, and Tasks for task items. How could an item not have an LAPEID? Well, if the item was deleted before CU1 was installed, it won’t have an LAPEID.
3. And lastly, this feature does not recover deleted folders. It only recovers items to folders that still exist within the user’s mailbox hierarchy. Once a folder is deleted, recovery will be to the folder type origin for that item.

I have not doubt that this will make your life easier and your end-users happier

After the installation Wizard is complete, the first things you need to do is to set the Exchange URL and setup the SSL certificate to make the installation suitable for production.

The best practice is to use a generic “service” name such as OWA or WebMail (e.g. owa.domain.com) and not the server name for the URL and Certificates.
In a single server installation example we will use the following:

• External Name: OWA
• Internal Name: OWA
• Server Name: Machine1

$i = "machine1"
$externalurl = "owa.domain.com"
$internalurl = "owa.domain.com"

Get-OwaVirtualDirectory -Server $i | Set-OwaVirtualDirectory -ExternalUrl https://$externalurl/owa -InternalUrl https://$internalurl/owa
Get-EcpVirtualDirectory -Server $i | Set-EcpVirtualDirectory -ExternalUrl https://$externalurl/ecp -InternalUrl https://$internalurl/ecp
Get-ActiveSyncVirtualDirectory -Server $i | Set-ActiveSyncVirtualDirectory -ExternalUrl https://$externalurl/Microsoft-Server-ActiveSync -InternalUrl https://$internalurl/Microsoft-Server-ActiveSync
Get-WebServicesVirtualDirectory -Server $i | Set-WebServicesVirtualDirectory -ExternalUrl https://$externalurl/EWS/Exchange.asmx -InternalUrl https://$internalurl/EWS/Exchange.asmx
Get-OabVirtualDirectory -Server $i | Set-OabVirtualDirectory -ExternalUrl https://$externalurl/OAB -InternalUrl https://$internalurl/OAB
Get-MapiVirtualDirectory -Server $i | Set-MapiVirtualDirectory -ExternalUrl https://$externalurl/mapi -InternalUrl https://$internalurl
Get-ClientAccessServer $i | Set-ClientAccessServer -AutoDiscoverServiceInternalUri https://$internalurl/Autodiscover/Autodiscover.xml
Set-PowerShellVirtualDirectory "$i\PowerShell (Default Web Site)" -InternalUrl ((Get-PowerShellVirtualDirectory "$i\PowerShell (Default Web Site)").ExternalUrl)
Get-OfflineAddressBook | Where {$_.ExchangeVersion.ExchangeBuild.Major -Eq 15} | Set-OfflineAddressBook -GlobalWebDistributionEnabled $True -VirtualDirectories $Null