I'd remove the keyboard and try attaching the spacebar from that angle.
Putting the keyboard back in place on the Wallstreet is the most difficult part of doing anything inside the machine.
It is very picky about going back into place.
I'd remove it again and be sure first of all that all the other parts are where they belong and nothing is in the way of the keyboard going back properly. Be sure you have put the heat sink, etc. in correctly.
Then check to see that the keyboard retainers inside the battery openings are not caught up which could prevent the keyboard from 'snapping' back into place. Then carefully slide the board back into place and press down near the retainers to get it to lock into place.
You may have to do this a couple times.
You might get some help by emailing these guys:
http://www.pbparts.com/shop.php//wkbp.html