It is a good idea avoid using spaces in the install path names of all Nokia/Symbian packages. Some installation scripts would happily accept spaces in the install paths but when put to use the packages would sometimes fail to work properly.
Case in point is when using Visual Studio .NET 2003 with C++ SDK 2 FP3 the install script would accept a path with spaces in it, however "Build" would fail during pre-compile with "rcomp" errors. Reinstall the SDK in a path with no spaces also you might have to edit properties.xml under "Nokia's Developer Suite for Symbian..." to change the SDKROOT to the new install path of the SDK. The install/uninstall of the SDK seems not to update it.
Spaces are fine with Visual Studio.