You could just reupholster the wingback chairs and slipcover the sofa so transform the living room on a budget. I'd keep it simple like this (notice simple drapes, too), and then maybe go for a more interesting area rug as the focal piece for the room.
Same room problem - pathways have to be kept to be able to walk through. Here they solved it with a simple split between the 2 backward chair path and two love seats facing each other.
This is a matter of space but quite practical.