We are trying to convert the lower level of our 1960s split level from a kids playroom to more of a tween hangout space. The kids need a place to play video games, listen to music, play board games, etc. We also want to use this space for family movie nights. We are planning to purchase a new sectional, a flat screen and new carpet and/or tile flooring. Unfortunately, a big chunck of our budget is going to be used to correct a water problem along the exterior walls. So any low-cost ideas would be very helpful.

Our main dilema is the huge ugly fireplace. We like to use the gas logs on cold Ohio days. I recently painted the doors black, which is a bit of an improvement but it still needs a lot of help. I believe it is sandstone so I don't know if painting is an option? A friend suggested we use cement stain. The pink bricks are hideous! I don't really want to go through the mess/hassle of tearing it out, but the huge size also makes furniture placement awkward. We wanted to put the flat screen above the mantel but there are only 31'" between mantel and cieling, which limits the size of the TV.

The whole room needs help. It's blah and boring. Not sure how to describe our style, maybe casual ecletic? We like earth tones and love going to
auctions to find pieces to repurpose. The walls are painted panneling. The built-in shelves are another akward feature of the room. I would love to hear any ideas about furniture placement, color scheme, and fireplace remedies. Any suggestions would be greatly appreciated.