Plum, hello. Wow...you can do so much with this space. I would first recommend whitewashing all of the wood paneling. (see attached photo). Replace the carpeting with some fabulous berber. Swap out the lighting and then decorate with nautical in mind. Remember less is more. Good luck.

I would paint the panelling to give some contrast to all that same shade of brown and maybe a nice aqua would be good change the overhead light for sure and some fun accessories and pillows and maybe even a couple of wall lights take down the wood blinds and hang some simple drapery in a fun nautical design and paint the coffee table white

Another dilemma like this earlier today.

I like the whitewash idea. But if you want to keep the walls, consider breaking up all that wood with a creamy white. Perhaps paint the window frames and ceiling. Get different window treatments - cream colored roman shades?

Consider removing the shelving around the ceiling and removing the things mounted way up high on the walls. It serves to lower an already low ceiling.

Wagon wheel is cool, but I wouldn't have it on the ceiling like that.

Good luck!

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