Some DC motors have a characteristic smell when they run, and today I started wondering what it would be. I noticed it many years ago for some train scale models (probably Märklin), some years later on my father's power drill (handheld, AC powered). Back then I assumed it had something to do with the sparks in there. Now my brushless (and sparkless) cordless drill, a Bosch GSB 10,8, has the same smell when running; another one, DRC 18/4 from Festool, much less so.
The smell is hard to describe, it is not something like a solvent or grease or something that is melting. I’d also say it is strongest for the first few seconds after some idle days.