If you receive an error that reads "ERROR: Cannot install into directories with spaces" or "Error: 'Destination Folder' contains 1 space" during the installation of the Anaconda distribution, this means that there is a space in your chosen installation path. This most likely means that you have attempted to install Anaconda into a directory that looks like this:
In order to overcome this error make sure that you are using the most recent Anaconda installer. This issue has been fixed in version 5.0.1 and newer. If using a newer installer is not possible for you please consider using a different installation path. If your username has a space in it then please consider installing to:
Both of these options will require an "All Users" installation and require some additional considerations for permissions. You can read more about Windows installation path options here, http://support.anaconda.com/customer/portal/articles/2882384-windows-anaconda-install-path-options.