Do you have furniture you'll be using here? Is there a way to use the pony/half wall and have the TV wall mounted on it? You'd have two focals with the TV and FP, or maybe three if there's a great view. It that isn't an option, I see an outlet on the right side wall. That's a good spot for a credenza (not a tv stand) with TV hung above it. You can put a sofa under the window or a sectional in the pony/window wall corner and add a pair of swivel chairs flanking the FP. A large area rug can be used to add olor and pattern to your space.

What is to the right of the fireplace where the carpet is.....is that a hallway or a part of this room?

Thanks for the quick responses! I really appreciate the layout ideas. On the other side of the half wall is the front door and to the right of the fireplace is our dining room, which has a beige tile floor.

Not sure if it looks like there is enough room for a couch on the wall facing the windows, which I usually prefer. So it seems like the couch will need to float in the room, toward the fireplace, which is great. There will still be a view out the windows. Maybe two chairs on each side of the fireplace opening, facing the couch. Not thinking a tv....sorry! Probably a grouping of pics on the fireplace wall instead of one big one, and maybe a large canvas or a mirror on the wall facing the window. Thinking a console table under that mirror or console and a lamp on it that would act as a lamp for the couch, too.

If you want to get an idea of what wall decor might look like before you decide on where you put the idea, you can try a new iPad app called ARTtwo50. It allows you to look at original artwork on your wall and visualize how it will look in your room. You can also compare different pieces and share them to friends and family if you want feedback. You can find it at www.arttwo50.com

Thanks, everyone! All great ideas!

Judy, thanks for the pics. I love the wall paper. Would you recommend the wall paper design follow the horizontal pattern of the fireplace or should it be vertical?

Vertically. Cool paper. It just showed up on my search and it looks like it belongs in your room.

Keep us posted.

If you do the wallpaper and a white sofa, throw these on: