First, MEASURE the whole space, draw and post, and include windows, all of it Second you need a MUCH larger rug. Third....you've got chairs at the fire.. First thing is jiggle sofa closer to fire. yank the lonely chairs to the foreground. ( not the chaise end of the sofa )

Get rid of the carpet effect in the flooring. : )

Design OVERTHINK

First.........draw the whole space. paths, windows doors etc. You buy nothing without a plan.

Thanks Brittany - so something like this? I know you mentioned a bench by the media counsel as well but that seemed too cluttered to me unless I'm not visualizing it correctly.

two options for the room.

I would have the diagonal wood insert replaced or restained to match the rest of the flooring. Another option is to have an area rug cut or assembled to cover the wood (carpet tiles from FLOR)

Consider reworking the pony wall and having it wired for TV. Then do two different areas, one with chairs by the fire and one with chairs and sofa in front of the TV.

Yes, Andrew, that's exactly what I meant. Be sure to purchase a square or round coffee table to leave walking room within the space.

Yours is one of those rare rooms where a sectional would actually work very well. If you'd like to have more seating, you could consider it. Otherwise go with any of the layouts suggested above.

In the mock up below, I've added a couple of chairs by the window as an additional seating space. Swivel chairs here would also work well. On the other side of the fireplace, I've added a tall bookcase and an ottoman.

I could customize this mock up to look more like your room and also make different layouts if you'd like to see any changes.