Forget the wallpaper--it will be very distracting. Save it for a powder room.

Don't try to do anything flamboyant with the walls. No accent walls. Make this a serene retreat. Add a comfy chair and ottoman and a good reading lamp.

You can use just a short book case on the half wall.

Very cool space... great for a library.

If the room is already done in this sort of beige color - I would take advantage of that, for a sort of 'beach' feel - and keep it mostly simple. I wouldn't do wallpaper; if you want to paint - the lighter blues can give the appearance of more space; a pastel blue would blend with the 'sand' of the beige, as well as blend with the red of your day bed. (Use a 'green' - i.e. environmentally friendly type of paint.)

I would keep it simple... and not crowd the space. Bring in your nautical theme with wall art, etc. Some reflective metal wall art (with anchors, etc.) would provide light and reflection, open up the space - and could look very cool! And/or paintings, prints, posters, photographs - some kind of wall art - with the nautical theme. As far as bringing in light and expansion to the space - a beautiful mirror (or mirrors) hung above eye level - on either the side walls or the longer wall - could work as another option; and with your nautical theme - perhaps a 'porthole' design in a mirror would be an interesting option (it's hard to tell from the pictures where the best placement for mirrors would be - but just want to extend the idea). You can also bring in texture and color with an area rug.

But I would keep it mostly simple. Perhaps do something beautiful with lighting... a beautiful 'statement' floor lamp... perhaps some beautiful sconces. Don't know if you have the wiring, or height, there for a chandelier - but if you have the height, a swag is another option. Lighting can make a lot of difference in the atmosphere of a space. Again, though, whatever you do - I would lean toward the 'simple'; a more minimalist sensibility would work best, I think.

Best of luck!

Thank you, all, so much! I agree, cbrooks0801, the current state of the space needs some color (I might have gone overboard with my suggestion, LOL. Again, not an interior designer).

The tip on painting instead of wallpaper is great. I was planning on painting it a mellow shade of aqua/teal/sea green, but my red day bed might not go with it (or will it?). I have the books, but my bookcases are not floor to ceiling.. I might have to explore that option.

Leelee, the idea of a bookcase on the half wall works for me, but not so much for my husband. The light on the right is from a sky light, and he likes bright and airy spaces. I, on the other hand, love to curl up with a book in a cozy, secluded spot. So maybe some sort of a divider that is retractable? I haven't come across too many options for that (I am not leaning towards having a curtain there, but I could be wrong about this). Any thoughts?

Thanks, again!

Just be careful not to put the day bed on the half wall if you have little ones in the home who could then go up and over.

Ikea has great ideas for hanging a light curtain from a ceiling track or wire. Check them out.

Painted a very light (almost white teal) will be wonderful with your seaside theme. Add some sea shells in a small collection among your books. Enjoy.

No little ones besides a little terrier who is scared of heights :)

Hi there, I like your space and idea to create beachy/nautical decor. Mediterranean style is airy, charming and doesn't have to be blend. I can say that your natural sense of colour leads you in a right direction, blue for walls and red sofa bed will work perfectly together. But you need to be careful to scale it in such a small corner and add more accessories around. Wallpaper all around might be too much but if you want to use it, you can pick it at least for one small wall as an accent. In any case think of furniture position before colours. it will give you better idea how to balance colour around. For example, as on a picture, if to put your sofa bed at this small wall (instead of bureau cabinet) and I guess it will face window in this position, then you could use navy blue wallpaper for that small wall. Red and blue create very nice contract together.

But don't go too much blue than room will not look that airy, it will be more dramatic. Add lighter tones all around. White and blue!
If you go more blue tone inside then add white or very light accessories. If you go for light walls then add rich blue, red, coral or orange colour for accent in accessories. Don't go for too many different tone. Pick max 3 (Red, blue and white) and add at least 2 transitional colours Coral and light blue. Mix them wise.

Bring cushions on sofa bed to balance colours around, to get it as a part of all idea. Here is an example in style:

I know colours can be tricky. Get a plan and stick to it. There are many beautiful inspiring idea, pick the colour scheme you love and go for it and stay focused, which is a hard bit.

Decide where you place your furniture, what furniture you want in and what you need to buy. Decide what's your main colour (rich blue or light blue), what accents, will accents come in wall art or accessories, how many on each wall. Think of balance of colours! Good luck! :)

Thanks, Alena, your ideas are wonderful and so helpful! I think I will experiment with blues and white with the red day bed, and see what works.

What are your thoughts about the half wall transition?

Great idea for an Interesting space. Is the half wall surround to the right of the secretary/desk open to the entry of the ground floor?

Turn your half wall into a bookshelf. Something like this but deeper-- and with or without doors and with solid or glass doors or some combination of all the above -- but building the shelving in front of the wall and topping both the shelving and the half wall.

http://st.hzcdn.com/simgs/0d31d9200bba067d_4-1000/traditional.jpg

You could add a floor to ceiling post at the end of the wall just for appearance sake -- whether it needs it for stability or not.

http://mitrecontracting.typepad.com/photos/builtins/2607.jpg

and/or create an arch or other design feature above where the steps begin.

You might consider adding murphy bed within your built in library shelving, thus enabling this space to be used as a guest room as needed.

By creating built in cabinets along at least one wall (or two, including a corner cabinet with a solid door) and using solid doors to cover (at least some of) the bottom shelves and glass doors to cover a small number of upper shelves, you could use also use this room for storage of valued items, including media related items -- DVDs, CD, games -- or photo albums and any of things you may want to display (but don't want to dust) -- trophy, nick knacks, family photos, collectibles or even the candy dish or cookie jar or favorite vase not currently in use for their intended purpose -- as well as for holding books.

Built in cabinets (or cabinets that have the look of built ins) have the advantage that you can set furnishings in front of them without their looking odd.

Something like this with the bench but also the wall of books and I like the idea of wall paper many hang up some wall paper

To give you more details, I need to see whole space, all four wall to give you a better idea on layout and decorative elements around. I can add that If you like idea for wallpaper on that small wall, you could decorate edge, where wallpaper will end. Glue twisted rope from ceiling to the floor to frame the wall. Just as straight line, will look great.

That sounds like such a good idea, Alena! You just added me to your list of fans.

Hi,

This room is accessorized with red - as opposed to having a red sofa, etc. - but I think it's a good representation of a blue and red mix - as well as a nautical theme (love the sailboat on the mantle). This light/pastel type of blue (wall color) can really open up a space - and works well with red.

[houzz=[https://www.houzz.com/photos/this-old-new-house-tropical-living-room-miami-phvw-vp~476370[(https://www.houzz.com/photos/this-old-new-house-tropical-living-room-miami-phvw-vp~476370)]

Hello all, thank you so much for your helpful suggestions. Here is how the library turned out to be (I'm planning on adding crown molding around the top of the bookshelves sometime soon) :

This company out of Italy has great concepts for the loft. Check out their library shelves and other cabinetry products at:

http://www.novamobili.it/eng/products/bookcases/

Love your choices and how you put it all together, brilliant. Looks beautiful.