Is there anywhere else in the living area you can install a direct vent fireplace?

Would I take it out? That depends on the kitchen and importantly,the neighborhood comp values and how long I plan to stay in the house.

It’s tricky to tell from the photo, but, if the sheetrock were entirely removed from the fireplace, would it expose brick? If so, exposed brick that was visible in both the kitchen and LR could look great, and the open feeling might add just enough of an illusion of more space to the kitchen. I agree that your decision depends on other factors, too, such as how long you plan to stay and the other comps in your neighborhood, but you might want to enlarge your kitchen anyway and change the layout completely, so, before you take down anything, I’d give it more thought.

Lisa, wanna know something else "Full of Doom"? A house that is not sellable or is de-valued when you want/need to move and you are too broke (umm,maybe from the cost of the "improvement" ) to eat the loss. I've seen this play out a few times... including on this forum. I'm all for living in the NOW, but as with most things, think it through. Without seeing the kitchen or the plan, rather impossible to even guess on whether that fireplace should stay or go.

If it is not a real wood fireplace, I would (as a potential buyer) much rather have a larger kitchen. In fact, if I had a choice between a larger kitchen (assuming the choice was a small kitchen with fireplace or large kitchen without FP) and real wood fireplace, I go for a larger kitchen. A fireplace doesn't make or break a house for me.

That fireplace looks like a huge intrusion into the room. Since you used the word 'tiny' to describe the kitchen size and not even 'small', I think it's a good idea to remove it.

hollybar: I am not full of doom. Just the opposite. I rejoice in the now and the living. I don't worry about the potential of possible resale because I don't know the future. These are problems that may or may not come about. I do know that it is an absolute certainty that I disliked my fireplace so had it removed. I've improved my new house. Ceteris paribus my house will sell to someone who doesn't need a fireplace and enjoys all the delights of my house.

Are you implying that the newly expanded kitchen will take in the footprint of the current FP? I think we need to see photos of the kitchen and living room, plus a floor plan to help you make a sound decision.

I do not want a fireplace either. Or a walk-in closet. Or built-ins. Or open concept rooms (keep the damn kitchen and dining rooms separate from the living areas). Or a bathtub. Or expensive kitchen appliances; good non-stainless ones will be fine. And forget the wine refrigerator.

I realize that many people love these things and that they may add value and sell-ability to many homes but not everyone wants them. I agree with Lisa. Do what makes you happy and accept that if you sell it may take longer and your market may be more limited.