to remove the space, you need to edit the index.dwt.php file for the selected theme.
go to the webassist/themes folder, in that folder is a subfolder for each theme, select the sub folder for the theme you are using.
in that theme subfolder open the Templetes folder and open the index.dwt.php file.
in the template file, remove the P tag around the middle pod content:
change:
<p class="morespace"><?php echo WA_getCMSContent($database_PowerStoreConnection, $PowerStoreConnection,"Middle Pod", "Content"); ?></p>
to:
<?php echo WA_getCMSContent($database_PowerStoreConnection, $PowerStoreConnection,"Middle Pod", "Content"); ?>
to change the font color of the middle pod text, in the admin menu select Content.
Edit the Middle Pod -> Content content area.
Select all the text, then use the font color tool to select the color you with to use. The text needs to be highlighted before you make the color selection.