You can install the faux wood stack at the base of the built in, tile the center and add a diptych of artwork on either side of the fireplace.

Beverly's idea is excellent. Or remove and rebuild if ghats feasible.

I think what looks odd to me is the baseboard along the front of the whole thing. Maybe another of our photoshop gurus will give you a stone facade so you can see what it might look like.

I like Beverly's idea of extending the tile to the ceiling. You could also install shelves on either side of the fireplace if you want room to display...

I never thought about the wood stack, what a great idea. Then perhaps a more natural looking stone on the fireplace, something rough, rather than the tile. I feel like the granite is too sleek and modern, makes it feel cold. And now that I look at it, those pieces are definitely too small, it's such a large space, I think it calls for large items. This is the area opposite of the fireplace, it's one large open room.

The wood stack is fake so you don't attract bugs and the bark doesn't create a mess.

Lovely fireplace! I would not cover it with stone. I like Beverlys idea to put tile up the center. I don't like the faux wood piles though.

The wood stack is overwhelming. Since you like the southwest look, I'd rip off the tile and stucco the whole thing. Then put shelves in the built ins, and perhaps even doors.

Your dining area is lovely, but all the art needs to come down to eye level when seated. Remove the lamp in the corner; you have recessed lighting so you really shouldn't need it. It would be great if you had the space wired for a chandelier.

I did the easy part first. Back in a bit with the fireplace.

In my professional opinion fireplace in brick would look grate here with two big mirrors on each side similar to http://sainteriordesignstoronto.com/fire-to-the-rain.html

You need bigger stuff on the mantel, and less of it. I show the fireplace stuccoed all the way to the floor with rustic doors with tin insets, and typical trastero doors:

Wow, groveraxle, that light fixture makes a huge difference! I would love to do something like that, wonder if we could with the way the lights and vent are now. Currently there are 4 canned lights and the vent is smack in the middle, right where you would want a chandelier. I really like the art lower, definitely makes it feel more cozy/intimate.

Rustic doors are a great idea, that would tie in the wood beams in the entry. Thanks for the ideas!

Jennifer, I guess it depends on how much you want to spend and if you want to do this yourself or have to hire out to build artistic hinged doors and structure to receive the hinges.

The two tall urns you have on the floor at each side would look great on the mantel, but without the sticks, IMO. Is there a way to do lighted display shelves on either side? I think this southwestern space may inspire some solutions for you.

Unpainted trastero doors look better.