Contact search is breaks if you enter space

Contact Search breaks if you enter space. Find Contact >> space and hit search.

Can be replicated on http://drupal.demo.civicrm.org/civicrm/contact/search&reset=1

You get following error:

[code] => -2
[message] => DB Error: syntax error
[mode] => 16
[debug_info] => SELECT DISTINCT UPPER(LEFT(contact_a.sort_name, 1)) as sort_name FROM civicrm_contact contact_a LEFT JOIN civicrm_email ON (contact_a.id = civicrm_email.contact_id AND civicrm_email.is_primary = 1) WHERE ( ( ) ) AND ( 1 ) [nativecode=1064 ** You have an error in your SQL syntax; check the manual that corresponds to your MySQL server version for the right syntax to use near ') ) AND ( 1 )' at line 1]
[type] => DB_Error
[user_info] => SELECT DISTINCT UPPER(LEFT(contact_a.sort_name, 1)) as sort_name FROM civicrm_contact contact_a LEFT JOIN civicrm_email ON (contact_a.id = civicrm_email.contact_id AND civicrm_email.is_primary = 1) WHERE ( ( ) ) AND ( 1 ) [nativecode=1064 ** You have an error in your SQL syntax; check the manual that corresponds to your MySQL server version for the right syntax to use near ') ) AND ( 1 )' at line 1]
[to_string] => [db_error: message="DB Error: syntax error" code=-2 mode=callback callback=CRM_Core_Error::handle prefix="" info="SELECT DISTINCT UPPER(LEFT(contact_a.sort_name, 1)) as sort_name FROM civicrm_contact contact_a LEFT JOIN civicrm_email ON (contact_a.id = civicrm_email.contact_id AND civicrm_email.is_primary = 1) WHERE ( ( ) ) AND ( 1 ) [nativecode=1064 ** You have an error in your SQL syntax; check the manual that corresponds to your MySQL server version for the right syntax to use near ') ) AND ( 1 )' at line 1]"]
)