Oh yeah, the lawn will also be re-sodded. Once I fix the irrigation system and get off city water. Looking kind of sad right now.

I guess I should give more info. We live in S. Florida so mosquitoes are bad, as are alligators. Looking for a fun, party , yet relaxed area (I'm turning 50 next month) on a budget for now.

Paul, if you can create an edge for your new patio area with bricks or rock, you can fill in with 6" of decomposed granite. This is an inexpensive way to set out a walkway and large patio - drains well, you should tamp in the first lift of about 3" and the second lift will set after the first good soaking rain. In the long run you can add big flagstone pavers to it all. You can do this around your existing firepit and you can outline it where you want, the grass underneath will die anyway. Eventually, you can come back in with flagstone on top of the dg and make a more traditional surface, but this is the bill for a nice looking and functioning DIY patio quick. I hear those mosquito luring machines do a great job - try one this year.

I recall the only way to solve the alligator "problem" is to ruin all the access to the crick or to move. Sure that little darlin gal is already trained to spot em and run.

@libradesigneye & jandority. Thanks for the ideas. There are two very large dead trees that I am going to cut down in that area. I can just ring that area with the trunks. Wife doesn't want patio enclosed (right now) I'm thinking of a pergola with drop down netting at the end of the pool deck.

Pergola sounds like a good option. When you take out the trees are you pulling or grinding the stumps? When you say ring that area I think you are saying take sections of the trunks and use as seats, correct? What have you thought of for alligator control? That would give me the most concern.

I've been down here in S. Fla for 26 years and have only seen the gators 2-3 times in the lake of my old house. This one was a small gator 5-6 foot. Nuisance gators are removed by the county so I'm not really concerned once O create a barrier in that area. Going to leave the stumps and create some sort of tiered plant/garden area. Envision using the trunks as seats, benches and a small wall by the canal. Trying to use as much of the natural resources as possible.

A site / landscape plan would help you focus on the design and which area to tackle first.

Have you considered EasyTurf vice installing irrigation and sod - which will cost you time and money to maintain? Without the dirt, bugs and insects, we're a lot kid-friendlier than real grass as well.

The main differentiation in EasyTurf products is the MaxxFlow backing, a proprietary 100% permeable backing that drains faster and cleaner than any other turf backing, standing toe to toe with the best permeable paver technology. (video here www.youtube.com/watch?v=rPiptLLbaqs)

Let me know if you have any questions or concerns - and check out a few recent installations -
http://www.houzz.com/projects/82915/Backyard-Installations

An active 7 year old girl would love a trampoline - it rids the need for any future backyard toys, and keeps her up from the alligators :) For your interest in creating fun, party, relaxed environment, consider hanging 1-2 sets of patio lights - they create the relaxed party mood, and only cost about $17 total: http://www.christmaslightsetc.com/Outdoor-Patio-Party-Lights-8587.htm