Perhaps, you might consider 2 sitting arrangements in the room.

1 would be a heavier one, with a sofa with a chaise: ( ex: http://www.eilersen.eu/media/eilersen/images/Baseline/1280x960_px/Sofa/Baseline_chaise.jpg ) and a coffee table.
2. would be sort of like a bench that could be seated from both sides, another coffee table or 2 small ones, and 2 arm chairs, so that way, you have 2 seating arrangements with a bench in-between, or you can have separate small arrangements by the windows ( patio doors ).

In terms of TV placement, you could consider placing it instead of your artwork.
Thank you.

The transitional bench is an idea Christopher Lowell used extensively and it works well. It should be upholstered and comfy for extended sitting. Could even be a "tete-a-tete" style. Be sure it also has access to tables for sitting drinks, etc.It flexes for socializing between the other two seating pieces. If you prefer, you could "L" your present sofas as you seem to have the space for it. Then you'd have room for a game/snack table and chairs in the corner by the windows to the left of the French doors, right of FP. Consider putting the tv above the FP. They can be tilt-mounted now so viewing it is not impeded due to the height. If you have no need of the tv armoire then, move it to the right of the double entry doors to counter balance the weight of the FP/built-ins somewhat. Use it for more storage, or you could sell or use it elsewhere. Think about a second social area in place of the armoire with four comfy armchairs around a round coffee table and your beautiful piece of art on the wall above that sitting area.

I SUGGEST A CIRCULAR GREAT RED SOFA INFRONT OF FIREPLACE AND A CORNER-BAR IN THE LEFT CORNER OF THE ROOM.YOU NEED AND 2 INSIDE FLOWERS LEFT AND RIGHT OF LIBRARIES (FIREPLACE).

I think it is a nice room. I wouldn't paint the woodwork (at least it looks good in this picture). I would get rid of the shutters and add some curtains. Replace the dainty coffee table with something a little more bold & bigger (ottoman maybe), anything to cover up more of the area rug and to separate the furniture a little more. Replace the sofa on the left (it doesn't fit the style of the room) with (2) chairs (high backs). And change the art above the fireplace to something else or something that has meaning to your family (TV could go there also if not too much work). Looks like the wall on the left has enough room for a little reading nook or maybe a sitting area with some wall sconces.

I think you need to decide the variety of activities that take place in this room. I like that you have flanked your sofas on either side of the sofa to work off some of the length. Another seating group can be made for TV watching on the lower end of the plan where she Carolyn has the TV. Will you need more than two seats for watching TV or is this an entire family event. I see three separate areas you can carve out. If your family will utilize a game table then that's a good idea. You have a lot of space and so I recommend you put together a priority list for what you want in this room so it can function for several people, several groups of people and the entire family.

I love Carolyn's layout. I too was going to suggest adding a nice sized table with 4 chairs. I live in a master planned community and our clubhouse exceeds 27,000 sq feet and the most popular room is the Gathering room where we have numerous seating groups with plush couches and upholstered arm chairs but people seem to gravitate to the table and chairs most often.

This room offers so much. I like the suggestion on the TC mounted above the FP. If you don't think this will fit in to your taste, look at the 2 tags below as examples.



http://www.frameyourtv.co.uk/

Have a great designs. Thank you for sharing.

www.designcoholic.com

Hire Candice Olson (from HGTV). She is a class act who will bring the bling and take your room to a stratospheric level.

Laconn - You are absolutely right, your great room is fantastic!! With a little tweaking this space will function better for you and your family. Here are my suggestions.
Regardless of the size of a space you need to decide what the room will be utilized for; watching tv, reading, entertaining, listening to music, playing games, etc. and then choose furnishing that will fill these needs and make the best use of your space. Besides watching tv, you have not mentioned any other ways this room will be used by your family. Although I am a fan of the tv over the fireplace, keeping one main focal point in a room, it definately does not work in your case as the mantel is too high making watching tv very uncomfortable. Not sure what size tv you have but your built in's would not house a very large tv, therefore, the far wall which currently has an armoire would probably be the best spot for it. Having said that, there would be a issue with glare from the opposite window(s) so either roman blinds on the windows or plantation shutters would work nicely. I agree with Carolyn regarding the layout except on the end where the tv is, I would mirror the placement of two chairs with a table between like the other side of the couch and use all swivel chairs. There are some really wonderful modern options available. This way everyone could watch the tv with ease.
The back corner could be set up in a number of ways again, depending on your families needs. A lovely little reading corner would be nice. The width of the space available at the back of the room is limited due to the french doors(traffic flow) and the jut out. If required you could place a console along this wall(jut out wall) which could double as a desk for a laptop and place a nice large mirror above giving the illusion of more width here. From a decorating standpoint unify the room by accessorizing. Find an accent color from artwork (possibly that coral colour in your painting above the fireplace) that can be used throughout the room, but don’t over do it. Accent colors work well in throw pillows, vases, wall hangings, flowers and picture frames. Laconn hope this helps!!! I am attaching a picture of a corner reading area that might work for you.

Regards, Deborah

No need to hire Candice. :) There are amazing professional designers here on Houzz who help willingly. Hopefully Houzzers in their markets will hire them when there are opportunities.

I like carolyn's lay-out of the furniture for a very functional living area. That being said, I realize that a lot of people do not like the idea of a tv above fireplaces, but I like it. Especially if you have a large one, and I think this living area deserves a large one. Move the large piece of artwork to another wall in the room, but do not hang it too high. Personally I would like the bookcases painted a light color. Just my opinion! :) Have fun! It is a very nice room!!!!!

I really like Carolyn's layout , but I agree that the mantle is too high. It would be uncomfortable to watch a TV mounted over that. If you have the extra cash, you could consider modifying the mantle. Or take a look at the 'left wing' and see if there is a good spot for the television and a furniture grouping.

Thank you so much for all of your help! We are definitely going to use your excellent advice for multiple seating areas, consider dropping the mantel to allow the TV to mount above the fireplace and start shopping for some new furniture! Thank you!