This plugin gives you shrink_whitespaces command for Sublime Text 2. With it you can:
- Convert a set of blank lines in just one blank line, or
- Remove the blank line that is between two paragraphs, or
- Remove a set of whitespaces between two words, or
- Remove the whitespace between two letters.
The action depends on the context where the command is used.
Default keyboard shortcut: Alt+W
Based on ErgoEmacs's shrink-whitespaces function, which is a combination of three Emacs functions: just-one-space, delete-blank-lines, and delete-horizontal-space.