First, you'll need to remove the chandelier since it won't be over a table and you don't want people walking into it. You can cover the junction box with a plaster medallion if you choose not to install a flush-mounted fixture.

The room's seating arrangement should beckon people in from the foyer. In other words, don't make a guest walk around the back of a couch to sit down. You should have a liquor cabinet with storage for drinks, glasses, napkins, serving plates and utensils. You'll need to decide whether you want it plumbed with a sink or not (expensive). You should also have a buffet or sideboard where you can put appetizers. And you'll need to think about how many people you want to entertain in that room: min, max and average number. You don't want the room to feel cavernous if there are just two of you or not have enough furniture if there are eight.

The buffet and liquor cabinet should be close to kitchen access so you don't have to trip over your guests to resupply from the kitchen.