The wall on the right is where the TV should go then 2 sofsa one facing the TV and ONe facing the FP no sectional and if you have 2 chairs or mybe one in the space on the right of the FP with a nice table and lamp for a bit of a reading corner.

I vote for a tv above the fireplace and a sectional placed like the image below (I have mine set up that way, it works great for a large family with room to roam). This gives a little bit of separation from the dining room, but does not block the barstools...and you don't have to look at the back of the couch from your kitchen. I personally don't like to give up a large wall for a TV, especially since you don't have other large walls for art etc. I have 2 swivel chairs by the fireplace, everyone's favorite due to the spinning.

PS. I would stretch out your island a couple of feet towards the sliding doors (for added seating), and eliminate the breakfast area. The sink end of your island is awfully close to the den wall.

Off topic, but I thought I'd post lower informal table, as idea for the optional extension location on the plan.

Or half a booth. Face the tv, and the view of outdoors.

Clontarf | Modern Kitchen · More Info

"Leverett" Woodale Design · More Info

Hudson Loft, NYC · More Info

If no pantry, a store-bought seat in the 'niche', etc..

Private residence- Grayson Hill · More Info

Contemporary Dining Room · More Info

Not much storage, but could stand on the bench to access seldom-used something.

Russell Rd. Kitchen · More Info

2 sconces in a nook is like a "restaurant dream" to me. I can delete these.

Kitchen · More Info

MDVN · More Info