diff --git a/src/space-model/services/space-model.service.ts b/src/space-model/services/space-model.service.ts
index c25fcbd..47a905c 100644
--- a/src/space-model/services/space-model.service.ts
+++ b/src/space-model/services/space-model.service.ts
@@ -40,6 +40,10 @@ import {
   ORPHAN_SPACE_NAME,
 } from '@app/common/constants/orphan-constant';
 import { DeviceRepository } from '@app/common/modules/device/repositories';
+import { SpaceProductAllocationEntity } from '@app/common/modules/space/entities/space-product-allocation.entity';
+import { SubspaceEntity } from '@app/common/modules/space/entities/subspace/subspace.entity';
+import { SubspaceProductAllocationEntity } from '@app/common/modules/space/entities/subspace/subspace-product-allocation.entity';
+import { DeviceEntity } from '@app/common/modules/device/entities';
 
 @Injectable()
 export class SpaceModelService {
@@ -387,10 +391,15 @@ export class SpaceModelService {
   async linkToSpace(
     space: SpaceEntity,
     spaceModel: SpaceModelEntity,
+    queryRunner?: QueryRunner, // Make queryRunner optional
   ): Promise<void> {
     try {
       space.spaceModel = spaceModel;
-      await this.spaceRepository.save(space);
+      if (queryRunner) {
+        await queryRunner.manager.save(SpaceEntity, space);
+      } else {
+        await this.spaceRepository.save(space);
+      }
 
       const spaceProductAllocations = spaceModel.productAllocations.map(
         (modelAllocation) =>
@@ -401,8 +410,17 @@ export class SpaceModelService {
             tags: modelAllocation.tags,
           }),
       );
-      await this.spaceProductAllocationRepository.save(spaceProductAllocations);
 
+      if (queryRunner) {
+        await queryRunner.manager.save(
+          SpaceProductAllocationEntity,
+          spaceProductAllocations,
+        );
+      } else {
+        await this.spaceProductAllocationRepository.save(
+          spaceProductAllocations,
+        );
+      }
       await Promise.all(
         spaceModel.subspaceModels.map(async (subspaceModel) => {
           const subspace = this.subspaceRepository.create({
@@ -411,7 +429,11 @@ export class SpaceModelService {
             space: space,
           });
 
-          await this.subspaceRepository.save(subspace);
+          if (queryRunner) {
+            await queryRunner.manager.save(SubspaceEntity, subspace);
+          } else {
+            await this.subspaceRepository.save(subspace);
+          }
 
           const subspaceAllocations = subspaceModel.productAllocations.map(
             (modelAllocation) =>
@@ -424,9 +446,16 @@ export class SpaceModelService {
           );
 
           if (subspaceAllocations.length) {
-            await this.subspaceProductAllocationRepository.save(
-              subspaceAllocations,
-            );
+            if (queryRunner) {
+              await queryRunner.manager.save(
+                SubspaceProductAllocationEntity,
+                subspaceAllocations,
+              );
+            } else {
+              await this.subspaceProductAllocationRepository.save(
+                subspaceAllocations,
+              );
+            }
           }
         }),
       );
@@ -441,10 +470,31 @@ export class SpaceModelService {
   async overwriteSpace(
     space: SpaceEntity,
     project: ProjectEntity,
+    queryRunner?: QueryRunner,
   ): Promise<void> {
     try {
+      const spaceProductAllocationRepository = queryRunner
+        ? queryRunner.manager.getRepository(SpaceProductAllocationEntity)
+        : this.spaceProductAllocationRepository;
+
+      const subspaceRepository = queryRunner
+        ? queryRunner.manager.getRepository(SubspaceEntity)
+        : this.subspaceRepository;
+
+      const subspaceProductAllocationRepository = queryRunner
+        ? queryRunner.manager.getRepository(SubspaceProductAllocationEntity)
+        : this.subspaceProductAllocationRepository;
+
+      const spaceRepository = queryRunner
+        ? queryRunner.manager.getRepository(SpaceEntity)
+        : this.spaceRepository;
+
+      const deviceRepository = queryRunner
+        ? queryRunner.manager.getRepository(DeviceEntity)
+        : this.deviceRepository;
+
       if (space.productAllocations.length) {
-        await this.spaceProductAllocationRepository.delete({
+        await spaceProductAllocationRepository.delete({
           uuid: In(
             space.productAllocations.map((allocation) => allocation.uuid),
           ),
@@ -453,13 +503,13 @@ export class SpaceModelService {
 
       await Promise.all(
         space.subspaces.map(async (subspace) => {
-          await this.subspaceRepository.update(
+          await subspaceRepository.update(
             { uuid: subspace.uuid },
             { disabled: true },
           );
 
           if (subspace.productAllocations.length) {
-            await this.subspaceProductAllocationRepository.delete({
+            await subspaceProductAllocationRepository.delete({
               uuid: In(
                 subspace.productAllocations.map(
                   (allocation) => allocation.uuid,
@@ -471,7 +521,7 @@ export class SpaceModelService {
       );
 
       if (space.devices.length > 0) {
-        const orphanSpace = await this.spaceRepository.findOne({
+        const orphanSpace = await spaceRepository.findOne({
           where: {
             community: {
               name: `${ORPHAN_COMMUNITY_NAME}-${project.name}`,
@@ -487,7 +537,7 @@ export class SpaceModelService {
           );
         }
 
-        await this.deviceRepository.update(
+        await deviceRepository.update(
           { uuid: In(space.devices.map((device) => device.uuid)) },
           { spaceDevice: orphanSpace },
         );
diff --git a/src/space/dtos/update.space.dto.ts b/src/space/dtos/update.space.dto.ts
index 02efb86..31ff54f 100644
--- a/src/space/dtos/update.space.dto.ts
+++ b/src/space/dtos/update.space.dto.ts
@@ -58,4 +58,11 @@ export class UpdateSpaceDto {
   @ValidateNested({ each: true })
   @Type(() => ModifyTagDto)
   tags?: ModifyTagDto[];
+  @ApiProperty({
+    description: 'UUID of the Space',
+    example: 'd290f1ee-6c54-4b01-90e6-d701748f0851',
+  })
+  @IsString()
+  @IsOptional()
+  spaceModelUuid?: string;
 }
diff --git a/src/space/services/space.service.ts b/src/space/services/space.service.ts
index 614950f..11a94e8 100644
--- a/src/space/services/space.service.ts
+++ b/src/space/services/space.service.ts
@@ -104,10 +104,23 @@ export class SpaceService {
         this.subSpaceService.extractTagsFromSubspace(subspaces);
       const allTags = [...tags, ...subspaceTags];
       this.validateUniqueTags(allTags);
+      if (spaceModelUuid) {
+        const hasDependencies = subspaces?.length > 0 || tags?.length > 0;
+        if (!hasDependencies && !newSpace.spaceModel) {
+          await this.spaceModelService.linkToSpace(
+            newSpace,
+            spaceModel,
+            queryRunner,
+          );
+        } else if (hasDependencies) {
+          throw new HttpException(
+            `Space cannot be linked to a model because it has existing dependencies (subspaces or tags).`,
+            HttpStatus.BAD_REQUEST,
+          );
+        }
+      }
 
       await Promise.all([
-        spaceModelUuid &&
-          this.createFromModel(spaceModelUuid, queryRunner, newSpace),
         direction && parent
           ? this.spaceLinkService.saveSpaceLink(
               parent.uuid,
@@ -125,9 +138,8 @@ export class SpaceService {
               projectUuid,
             )
           : Promise.resolve(),
-
         tags?.length
-          ? this.createTags(tags, projectUuid, queryRunner, space)
+          ? this.createTags(tags, projectUuid, queryRunner, newSpace)
           : Promise.resolve(),
       ]);
 
@@ -435,6 +447,9 @@ export class SpaceService {
     try {
       await queryRunner.connect();
       await queryRunner.startTransaction();
+      const project = await this.spaceModelService.validateProject(
+        params.projectUuid,
+      );
 
       const space =
         await this.validationService.validateSpaceWithinCommunityAndProject(
@@ -452,6 +467,36 @@ export class SpaceService {
 
       this.updateSpaceProperties(space, updateSpaceDto);
 
+      if (updateSpaceDto.spaceModelUuid) {
+        const spaceModel = await this.validationService.validateSpaceModel(
+          updateSpaceDto.spaceModelUuid,
+        );
+
+        const hasDependencies =
+          space.devices?.length > 0 ||
+          space.subspaces?.length > 0 ||
+          space.productAllocations?.length > 0;
+
+        if (!hasDependencies && !space.spaceModel) {
+          await this.spaceModelService.linkToSpace(
+            space,
+            spaceModel,
+            queryRunner,
+          );
+        } else if (hasDependencies) {
+          await this.spaceModelService.overwriteSpace(
+            space,
+            project,
+            queryRunner,
+          );
+          await this.spaceModelService.linkToSpace(
+            space,
+            spaceModel,
+            queryRunner,
+          );
+        }
+      }
+
       const hasSubspace = updateSpaceDto.subspace?.length > 0;
       const hasTags = updateSpaceDto.tags?.length > 0;