I am at a loss for how to handle this wall. We are pulling out this sad fireplace and putting in a direct vent (cannot decide on that either) I need to frame where to put it.

1. Where would you put the fireplace? Center to entire wall or just from hallway opening?

2. What to do about that oversized waste of space niche?

How do you surround a fireplace on a 15" wall. I really do not want a stone runway - it would not look right here. House is a 1 story ranch and I like the rustic look.

Even if someone just pushes me in a direction I would be appreciative. I am losing sleep.