Tutorial
The white space issue can be resolved in the category feature.
1. Under 'Categories', choose 'Edit Category'

2. Choose the category that is at the very top of your left and/or right navigation panel.

3. In the form field 'Spacing Above Category', enter 00

4. This is where you can adjust the white space. If you want more spacing between the two panels, enter a number higher than 00.
