I am looking to create a text effect like this where the text box bubbles or strokes around the shape of the text. I am not sure if this particular effect was created in illustrator or another program, but I am interested in learning how to do this. I have looked through several tutorials and have not quite found what I am looking for. Thank you in advance for any assistance.
Mel,
What Michele said, with the following possible other way.
When you outline the live Type, you get a Group of Compound Paths (each of which may be a true Compound Path (with one or more counters (= holes)) or basically just a simple path), one for each letter.
With that Group selected, you may then Object>Path>Offset Path which will give you another set of Compound Paths one for each offset letter shapes within the same Group, the offset paths being selected, you may Ctrl/Cmd+G to turn them into a Group within the Group, and in any case you may Pathfinder>Unite which should (more or less) give the contiguous outer offset path along with possible inner ones.
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