You have a beautiful modern space, but I agree the sectional side could use some tweaking. I would bring your sectional out more into the middle of the room, not beside wall like it is. I believe you want to get new furniture, and a large white leather sectional would look great, but do some shifting around of what you have to see if layout looks better first. This would help you decide if a sectional works or would a sofa and chairs be better. The rug under sectional is too small and looks out of place because its got more colour the anything in room. I would maybe leave out because floors are lovely. The console and mirror could be better too. If you removed the console, turn the mirror vertically and try to position it so it reflects water wall. The wall where the sectional is now would be a great place to display some large wall art.

http://houzz.com/photos/1897175

You have an amazing space! Sticking with an L shape or U shape furniture arrangement is your best bet. You could use a sectional as shared above, or split up the seating with one large sofa flanked by two smaller sofas or even flanked with 2 chairs on each side. The benefit of the chairs is that you can arrange them in a conversation setting or turn them to take in the view. They also allow for additional seating in other areas as needed. Good luck!

Thanks for the suggestions! I too think the rug is too small and the furniture should probably "float" away from the wall. I will get my hubby on that at least right away. Some comfy (perhaps swivel) chairs too so would be able to see the view or the TV screen. I love the idea of a new leather sectional but the budget is limited at the moment.

I got inspired by your comments and we rearranged the room! I think it's an improvement!