Nearest-neighbor search in large vector databases is crucial for various machine learning applications. This paper introduces a novel method using tensor-train (TT) low-rank tensor decomposition to efficiently represent point clouds and enable fast approximate nearest-neighbor searches. We propose a probabilistic interpretation and utilize density estimation losses like Sliced Wasserstein to train TT decompositions, resulting in robust point cloud compression. We reveal an inherent hierarchical structure within TT point clouds, facilitating efficient approximate nearest-neighbor searches. In our paper, we provide detailed insights into the methodology and conduct comprehensive comparisons with existing methods. We demonstrate its effectiveness in various scenarios, including out-of-distribution (OOD) detection problems and approximate nearest-neighbor (ANN) search tasks.