It is difficult to be accurate without dimensions of the room, but my suggestion would be to float the furniture in the middle of the room on top of the area rug. The two couches could sit 3 feet in front of the stairs facing the wall of windows and the other one in front of the windows facing the stairs.. The chair can go on the end.

Or, you could face the couches perpendicular to the stairs and the windows......that arrangement might fit better.

You can place a console or buffet type cabinet at the end wall where the mirror is now. Over that console you can place a large piece of art or you can use the mirror that you already have.

I would also suggest that you replace the patterned pillows with solid pillows that have the colors of your rug. The red pillows are good, but you can add gold and black (or is it navy blue?)

What exactly kind of advice are you looking for. Do you want to repaint etc.
or leave as is. Is it a new to you house?

Paint, a solid color! And float the furniture on the rug.

Should I get new rug? What color paint if I leave it the way it is? What about window treatments? I do not like the faux paint in this new house. There is a door that opens up to Veranda that I don't want to block either. The floating furniture is a good idea, but won't work in this very odd shape room.

Could you try this. Turn the carpet the other way round and abut it to the verandah door so when you come in/out it's onto the carpet and you won't need a mat.

Place the two love seats across from each other on the carpet - away from walls.
The chair will have to go to another room.

Try some black cushions and see if they look better. Your carpet is black right? Paint the room, I agree faux paint has to go. I would remove the arches from the top of windows. Coffee table inbetween love seats. The one you have is too heavy. do you have another.

Try the re-arrangement and post another pic.

The rug is a real statement piece and should dictate many of your decor and color choices .....i would suggest painting the walls in the gray from the rug.......and lay the rug diagonally.....this looks very possible with the size of your room.......then overlap the furniture onto the rug leaving a path open to access the door you wish to use......create a much cozier seating space while at the same time making the room seem larger.......when arranging the furniture on the rug line it up with the border of the rug creating a little room within the room...look at living room photos on houzz and you will see almost always furniture is floating this is why so many comments suggest this...it is worth it for the look even if you have to eliminate a piece of furniture

If you end up with a chair or sofa back facing the entry area ...place I very thin console table behind it to further define the seating group

Beautiful room. Here is idea for wall decor. See more at http://www.luxewaterwalls.com/fountains.html

The current rug is way to busy for this room. You have the very grand windows, a ragged texture paint on walls and a "busy" hardwood. Usually, people need some "texture" in their LRs; in this case you need to reduce the "swirlys." I would definitely paint the walls a light solid color. Historic pastels (yellows, blues, greens, and yes even whites and ivories!) would be a great start. The architecture of your home's LR interior says "Washington D.C. reception/ drawing room." If you like that style and can incorporate those kinds of pieces (your sofa and love seat are fine btw :-) you can totally pull off that look. Here is an inspiration pix.
[houzz=]

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