any suggestions for what to do under the TV with the wires & sound system would be great too!!! Also, putting the TV above the mantel is not an option.

It would be nice to create a small open shelf for your AV hardware to go under your TV there to the left. I'd recommend something in espresso or charcoal and paint the wall behind black to help hide wiring.

I'd also suggest painting the walls next to the fireplace a little darker so the fireplace isn't such a shocking contrast.

I think you need to move the furniture in, too. Try the couch on the wall opposite the windows with the coffe table in fornt of it and the recliner by the windows on the far end from the the fireplace. Then the loveseat could go next to it, parallel to the fireplace.

You could add green pattern panels at the ends of the windows, like these: The greens do not have to be a perfect match. I rather see the picture, which I like, hanging above the mantle rather than leaning. I think it will look like it fits better.

Painting the fireplace wall is a good idea. Something like Toasted Chestnut 2174-10. See: http://www.benjaminmoore.com/en-us/paint-color/toastedchestnut

Floating shelves mounted on the other side of the fireplace with pictures and objects that have green and orange in them would look good. http://www.westelm.com/products/salvaged-wood-shelf-w637/?pkey=cwall-shelving These are even better: http://www.potterybarn.com/products/rustic-wood-ledge/?pkey=call-home-office-storage Another picture over the couch will add more color to your room. Check allposter.com

Fireplace wall: First, install a great, graphic wallpaper on either side of the fireplace. Then, install a shelving system like The Container Store's Elfa system or Closetmaid's Shelftrack (see others at http://www.goodhousekeeping.com/product-reviews/home-products/closet-organizing-system-reviews/diy-closet-organizers); be sure to select solid shelves in either white, black or natural wood. Place the TV on one of the shelves either side of the fireplace, at eye height (depending on the stand for your TV, it may need to sit on the brick bench extending out from the fireplace). Then, install the rest of the shelves around the fireplace to work with your style and accessories. For example, the shelves don't need to go all the way across in order to make room for a particularly tall accessory. Keep in mind that having shelves and accessories over the wallpaper will diminish its impact; as a result, you can handle a bolder pattern than you might otherwise be comfortable choosing. I particularly like the idea of this ( http://www.designyourwall.com/store/Symmetry-Green-GB58213-pr-4749.html) or this ( http://www.designyourwall.com/store/Vintage-Green-Florals-ARW011-pr-4800.html) with dark shelves, and almost all white accessories (lots of magazine holders, photo boxes, and other pretty storage plus a couple nonfunctional accessories) with three pops of orange.

Furniture placement: Consider floating the furniture off the walls. As Bond Girl said, you need to get the furniture closer together to make the space better for conversation. I would probably try anchoring the sofa in front of the windows but only 2' from the fireplace with the loveseat just below the step down, again pulled in so it's about a foot off the end of the sofa, and then angle the chair in from the opposite wall, near the TV.

I like what Bond Girl suggested. What kind of budget do you have? If the answer is not much then ...

Step 1, shuffle around the furniture (swap the pictures around too). This is my favourite part. You have all the pieces and you can repeat at no cost. You could try a new arrangement every week until you find one that works for you. You will also get some sense of accomplishment while the other things take more time. You will also determine if you need any other furniture or curtains.

Step 2, get a rug. Aside from the design points, it will make your carpet last longer. If you get one that has a pattern and is darker then marks will not be noticeable - unlike on your light carpet. Be patient when choosing it. On an even more practical note, by moving the furniture closer together the rug can then be smaller. This means if there is a pet incident and the rug needs to be cleaned outside, it is a manageable task.

Step 3, get your additional furniture, shelving, decorations or curtains