MacOS To work around this issue, press Ctrl+F7. If you're using a Mac laptop, press Ctrl+Fn+F7.
Pressing Ctrl+F7 will disable Full Keyboard Access". If the shortcut doesn't work, go to System Preferences > Keyboard > Keyboard Shortcuts' , select 'Text boxes and lists only' under 'Full Keyboard Access'.
This issue is caused by having "All controls" selected in System Preferences > Keyboard > Keyboard Shortcuts. When this option is selected, SketchUp will give focus to buttons like the Geo-location button in the status bar and then the Space bar will select that control. If you select the "Text boxes and lists only'' option, this issue will no longer occur.