Does the sofa fit facing the fireplace?? If so, I would try that with the two chairs placed on either side if the fireplace with a sofa table or ? behind the sofa.

Thanks! I tried that first but will try again!

Yes, to sofa facing the fireplace, but place to right as the room does not look wide enough for a chair on each side of the sofa, therefore I would place two chairs on the window wall or is this a loft opening? (not sure what the brass bar is on the opening?) keep the right side open for entering the space from other area.

I would add a sofa table behind for lighting, accessories. Height of sofa table slightly shorter than the back of the sofa. End table next to sofa and chair. Maybe a two door cabinet/ end table that the kids toys an be stored and taken out by kids. Between chairs add a narrow side table with drawers. Artwork to right of window is too big, I would place a smaller piece. Send a pic to my page after you moved things around.. more suggestions to come. Have fun

I know your hubby will probably say no way, but painting the wood each side of the fireplace white, will totally change the look of the room for the best.