I agree a larger ruge would work better, your furniture placement is fine, you may want to consider a large square storage ottoman/coffee table. Also I think if you add some accents such as great artwork to the walls as you have very large ceilings which leaves the one wall looking a little bare. If it were me I would be inclined to have 2 occasional chairs with a small table in between. Drapery on the windows will also make the room feel more cozy. Good luck

Thank you!! Drapery panels are on order - just to anchor both sides of the two storey windows (had more photos to share, for some reason they didn't upload). We've also just purchased an oversized palladian mirror from Restoration Hardware to be hung on the big wall opposite the windows, as well as a chandelier. I'm hoping it will all help fill the space and make it more cozy. Sofas are very old and hopefully we'll be in the market of purchasing a new set soon! I also like the idea of having two occasional chairs instead of a loveseat. Just seems like it's taking me forever to get it all done!

I feel that the room is too narrow to support the matching sofas across from each other. I would put the window sofa where the chair now is, just off the end of the rug, facing the TV. Then put the chair in front of the window, with one of the ottomans near it.