Hi Infini! I love that your options are so wide open here. Is your fireplace stationary? If so, this may seem like an obvious start, but have you built in shelving or other treatments on each side of the fireplace? I think it will look great. I also think the fireplace insert exterior would be great in black if it was possible. What would you say is your personal style? ... more traditional or contemporary/a mix etc? Do you plan to switch out your couches? Love light, large window, and cute little four legged friend! :)

I'd like to attach more pictures and I will gladly respond to your comments. thank you very much!

For starters, you need something on the left of the fireplace for balance. I don't normally say this, but if your tv is a flat screen mount it above the fireplace, and as Melissa suggested do built-ins on either side of the fireplace. [houzz=]

Bring your sofa in more, at least 6 inches.

If you can, replace your torchiere lamp with something more substantial: [houzz=]

A coffee table in front of the sofa: [houzz=]

Perhaps find a large, wide piece of art you like, and hang it above the sofa.

Move the Sofa to wall with windows. Put TV on opposite wall. Put TV on a piece of furniture like a short sideboard. This takes the center of attention away from TV and puts it back on mantel. Next find a patterned rug, oriental if you like it. Put a coffee table in front of the large sofa. Now find a nice large picture that works with the rug for over the mantel. This painting should be more narrow than tall. Now you can pick a beautiful wall color that works. You could find a throw that works with the above to give the sofa a little life. Have Fun

To Amy Burke - thank you very much for your comments and ideas! I never thought about mediterranean motives in my interior before :). This piece of art above the fireplace just standing there and not necessaryly will stay long, it was just something to fulfill the empty space. But you are so right - I need some colors, and this is a dilemma for me. That's why I stay with very "neutral" colors,
I'm not sure what to choose...

Love Amy Burke's color palate for you. Cabinets on either side of the fireplace that includes space for your TV would really help your room. You really need a more colorful carpeting because the rest of your furnishings are subdued.

I would center the sofa opposite the fireplace or if you don't have enough space for that place them in an L. Leave the one sofa on the wall in it's present location move the other one over so the tips of the arms almost touch. You could use an end table for both sofas to share on the corner of the L.

A large upholstered ottoman that both sofas share or large coffee table round or large square one would be nice.

Just one more note: the wall hanging between the two windows should be placed lower on the wall. It should be eye level.

To Melissa Elizabeth - thank you a lot for your nice comment! Yes, the fireplace is stationary and I thought about built in shelves from the both sides. Also, I consider to buy new furniture. In short, I'm ready to start from scratch. I just keep my "cute little four legged friend" :) . Regarding the style - I love ArtDeco, but it's not going to happen (not with my homemates :)) - so it probably will be more traditional plus some conteporary elements.

Thank you, Bobbi P, for very constructive ideas, they absolutely make sence!

It took me time to reply :). Thank you, Island Girl, I like your suggestions! Never thought about moving sofa to the wall with windows! I have to experiment, though I'm not sure about TV on an opposite side -
because of sunlight, but I agree with taking TV away from its current place, as well as with your other ideas. Thank you!

Infini, hope you had lots of colorful dreams last night. We are here when your ready to make your next steps so don't hesitate to post pics of pieces you are considering to add etc. Have Fun with it!

To Dar Eckert - Thank you very much for your comments! I can now clearly see the main guide line for making my place look nice (based on everebody's comments)! I absolutely agree with idea of making fireplace wall more balanced by building some shelves around, and I definately need some colors and new rug. I'm thinking of large ottoman, rather than a coffee table and I agree, that two sofas should be close to each other. I' ll try to put them in L shape, as you suggested. I also like your note about an art piece hanging on the wall between windows. It is too high, true, just because we were too lazy to make a new hole in the wall, that one already was before :). We'll fix it :) Thank you again!

I wouldn't use an ottoman for your coffee table. You already have a lot of puffy upholstered pieces. A wood table of some kind would better. What ever you decide get your rug first that will dictate almost everything in the room.

As I see, this shaggi rug is the trouble-maker :), in fact this is almost the only puffy thing in the room, (sofas are leather), but it is a wrong rug, I agree. Thank you for comment.