What do you hate about the format ? There is nothing wrong with have equal amount of spaces between paragraphs, it's more restful for the eyes than shifting back and forth from no space to single space or even worse from single space to double space.
Don't make a new paragraph for every line, if you don't like all the spaces in the text. But if you have dialogue, you have to make a new paragraph every time there is a new speaker. It's one of the subtle ways to avoid the he said, I said speech tags.