diff --git a/src/space-model/handlers/propogate-space-model-deletion.handler.ts b/src/space-model/handlers/propogate-space-model-deletion.handler.ts
index 31efeba..318635e 100644
--- a/src/space-model/handlers/propogate-space-model-deletion.handler.ts
+++ b/src/space-model/handlers/propogate-space-model-deletion.handler.ts
@@ -4,7 +4,6 @@ import { Logger } from '@nestjs/common';
 import { PropogateDeleteSpaceModelCommand } from '../commands';
 import { SpaceRepository } from '@app/common/modules/space';
 import { SpaceService } from '../../space/services/space.service';
-import { DataSource } from 'typeorm';
 
 @CommandHandler(PropogateDeleteSpaceModelCommand)
 export class PropogateDeleteSpaceModelHandler
@@ -15,7 +14,6 @@ export class PropogateDeleteSpaceModelHandler
   constructor(
     private readonly spaceRepository: SpaceRepository,
     private readonly spaceService: SpaceService,
-    private readonly dataSource: DataSource,
   ) {}
 
   async execute(command: PropogateDeleteSpaceModelCommand): Promise<void> {
@@ -29,7 +27,11 @@ export class PropogateDeleteSpaceModelHandler
             uuid: spaceModel.uuid,
           },
         },
-        relations: ['subspaces', 'tags', 'subspaces.tags'],
+        relations: [
+          'subspaces',
+          'productAllocations',
+          'subspaces.productAllocations',
+        ],
       });
 
       for (const space of spaces) {
diff --git a/src/space/services/space-product-allocation.service.ts b/src/space/services/space-product-allocation.service.ts
index 52ebdfd..8b8acb1 100644
--- a/src/space/services/space-product-allocation.service.ts
+++ b/src/space/services/space-product-allocation.service.ts
@@ -197,6 +197,29 @@ export class SpaceProductAllocationService {
       throw this.handleError(error, 'Error while updating product allocations');
     }
   }
+
+  async unlinkModels(space: SpaceEntity, queryRunner: QueryRunner) {
+    try {
+      if (!space.productAllocations || space.productAllocations.length === 0)
+        return;
+
+      const allocationUuids = space.productAllocations.map(
+        (allocation) => allocation.uuid,
+      );
+
+      await queryRunner.manager.update(
+        SpaceProductAllocationEntity,
+        { uuid: In(allocationUuids) },
+        { inheritedFromModel: null },
+      );
+    } catch (error) {
+      throw new HttpException(
+        'Failed to unlink models',
+        HttpStatus.INTERNAL_SERVER_ERROR,
+      );
+    }
+  }
+
   private async processDeleteActions(
     dtos: ModifyTagDto[],
     queryRunner: QueryRunner,
diff --git a/src/space/services/space.service.ts b/src/space/services/space.service.ts
index 2be315c..844c42f 100644
--- a/src/space/services/space.service.ts
+++ b/src/space/services/space.service.ts
@@ -602,7 +602,10 @@ export class SpaceService {
       // Unlink subspaces and tags if they exist
       if (space.subspaces || space.tags) {
         if (space.tags) {
-          await this.tagService.unlinkModels(space.tags, queryRunner);
+          await this.spaceProductAllocationService.unlinkModels(
+            space,
+            queryRunner,
+          );
         }
 
         if (space.subspaces) {
diff --git a/src/space/services/subspace/subspace-product-allocation.service.ts b/src/space/services/subspace/subspace-product-allocation.service.ts
index 162620d..e610c0a 100644
--- a/src/space/services/subspace/subspace-product-allocation.service.ts
+++ b/src/space/services/subspace/subspace-product-allocation.service.ts
@@ -374,6 +374,29 @@ export class SubspaceProductAllocationService {
       throw this.handleError(error, `Failed to delete tags in subspace`);
     }
   }
+
+  async unlinkModels(
+    allocations: SubspaceProductAllocationEntity[],
+    queryRunner: QueryRunner,
+  ) {
+    try {
+      if (allocations.length === 0) return;
+
+      const allocationUuids = allocations.map((allocation) => allocation.uuid);
+
+      await queryRunner.manager.update(
+        SubspaceProductAllocationEntity,
+        { uuid: In(allocationUuids) },
+        { inheritedFromModel: null },
+      );
+    } catch (error) {
+      throw new HttpException(
+        'Failed to unlink models',
+        HttpStatus.INTERNAL_SERVER_ERROR,
+      );
+    }
+  }
+
   private async validateTagWithinSubspace(
     queryRunner: QueryRunner | undefined,
     tag: NewTagEntity,
diff --git a/src/space/services/subspace/subspace.service.ts b/src/space/services/subspace/subspace.service.ts
index b4febbe..500ea69 100644
--- a/src/space/services/subspace/subspace.service.ts
+++ b/src/space/services/subspace/subspace.service.ts
@@ -27,6 +27,7 @@ import { SubspaceEntity } from '@app/common/modules/space/entities/subspace/subs
 import { ProcessTagDto } from 'src/tags/dtos';
 import { TagService as NewTagService } from 'src/tags/services/tags.service';
 import { SubspaceProductAllocationService } from './subspace-product-allocation.service';
+import { SubspaceProductAllocationEntity } from '@app/common/modules/space/entities/subspace/subspace-product-allocation.entity';
 
 @Injectable()
 export class SubSpaceService {
@@ -377,22 +378,30 @@ export class SubSpaceService {
     subspaces: SubspaceEntity[],
     queryRunner: QueryRunner,
   ): Promise<void> {
-    if (!subspaces || subspaces.length === 0) {
-      return;
-    }
+    if (!subspaces || subspaces.length === 0) return;
+
     try {
-      const allTags = subspaces.flatMap((subSpace) => {
-        subSpace.subSpaceModel = null;
-        return subSpace.tags || [];
-      });
+      const subspaceUuids = subspaces.map((subSpace) => subSpace.uuid);
 
-      await this.tagService.unlinkModels(allTags, queryRunner);
+      const allocations: SubspaceProductAllocationEntity[] = subspaces.flatMap(
+        (subspace) => subspace.productAllocations || [],
+      );
 
-      await queryRunner.manager.save(subspaces);
+      if (allocations.length > 0) {
+        await this.subspaceProductAllocationService.unlinkModels(
+          allocations,
+          queryRunner,
+        );
+      }
+
+      await queryRunner.manager.update(
+        SubspaceEntity,
+        { uuid: In(subspaceUuids) },
+        { subSpaceModel: null },
+      );
     } catch (error) {
-      if (error instanceof HttpException) throw error;
       throw new HttpException(
-        `Failed to unlink subspace models: ${error.message}`,
+        `Failed to unlink subspace models: ${error instanceof Error ? error.message : 'Unknown error'}`,
         HttpStatus.INTERNAL_SERVER_ERROR,
       );
     }