This is a well-styled niche: The accent wall accentuates the silhouette of the wall detail, and the skirted table, tall lamp and art are well-proportioned. Something tells me a bit of storage was snuck under the skirt, too. Clever!
A skirt can cover just the legs, or an entire piece of furniture, either to conceal any flaws or define a whole look. This foyer table looks so elegant with its tailored pleated skirt and nail heads. I wonder what the frame under it looks like.
Don't do built in, just use the recess for a beautiful antique chest, skinny tall tole lamp and large art behind, will need electric in that wall for lamp