I'll take the easy way out (for me) and flip the kitchen and DR. If that's not possible (or feasible), then I wouldn't open the kitchen to the DR. I would eliminate the small L of the peninsula, straighten the peninsula and make it all one level, and move the range to the fridge wall. Move the DW to the other side of the sink, and store dishes in drawers to the right, so that helpers can load or unload the DW, or gather dishes to set the table, without entering the prep triangle. This assumes that the room which currently opens to the DR is a formal LR, or part of a front entry, and there is traffic flow to the existing kitchen.

maybe what you are saying is the dining room does not get much use to warrant that closed off sq footage. Which is a common issue, and thus many dining venues [yes-- you can have a dining spot] are better as a section of a larger living space. Your kitchen is narrow then it widens then kind of closes in with a bit more narrowing at the work zone. I'm not sure I'd find it difficult but given what you are willing to do, this whole back area of your first floor could be much better: engaging/social along w better kitchen set up w zones etc. / Its best to provide the entire first floor of the home so these areas can be placed in context. there can be other ways forward as well......like widening the dining room opening greatly.

I would enlarge the opening to the “dining room” and put the kitchen in there, the dining area in the “kitchen” (into the bay), and leave the family room as is. Custom kitchen cabinetry into the bay will be more expensive and not really as useful as a squared kitchen. If you have the kitchen exposed to the family room, you will have to be concerned with how it looks to guests.

Mama goose, I love both floor plans, but am intrigued by moving the kitchen into the dining room. Here’s the plans to our sister house. They had a wider family room kitchen area than we do but the living room is in the same place. Is it weird to look in from a living room to a kitchen? Why kind of door could I put in place to separate it?

Oooo, maybe we get rid of the French door that leads to our loggia/sun porch and put the kitchen work triangle on the opposite side of the island....