I'm not a fan of the rug. A shaggy gray, black and white with a lot of texture would have been much better. Go for white pillows & throws. If you can swing a coffee table go for one lighter in color so your room doesn't get too dark. You do need wall art. Maybe blow up photos and frame them in matching frames on the wall.

I think your wall color is too dark with the sofa. Perhaps either the tan or cream shade from the rug might be a choice to consider. I think you could use something like a lidded ottoman or a rattan or wicker ottoman with storage to add some texture and storage for toys, etc. A floor lamp in the corner and another chair, for the other side of the rug, perhaps in something like a gray tweed type fabric. You could use a larger piece on the mantel on the other side of the television to balance it, perhaps a larger vase. Perhaps something like a gallery wall, on the wall next to the window and perhaps something like a larger starburst mirror on the wall facing the fireplace. Add some pillows and throws with some texture and color. I think that you might consider switching out the light fixture for something like a round pendant fixture, something like this from lamps plus:
http://www.lampsplus.com/products/honeycomb-20-inch-wide-3-light-pendant-chandelier__17822-2r551.html

Generally lighter colors tend to make a room feel larger. For the sofa I would go with something that's lean not bulky a good example is the sofa in pic above entitled Summer 2013.

An art wall would be nice. Just find things that make you smile and let the collection grow.

Love the start you have in here and while I have never really noticed a tv not centered on a mantle, I like it in this room! Hate to say this as I know it will be a chore and a half, but I really think you will like the feel of the whole room more if you move the rug. Move it? Yes.......it needs to be pulled back UNDER the part of the sectional by the window and then the feet on the other part need to also be on it. Have the run be basically centered with the sectional and not stick out in the rest of the room. THAT makes it look like it does not fit or work and you....just bought it because.

Start shopping for some more pillows and group them instead of scattering them. Find art for both walls behind the sectional and that will totally help the feel here, too. BIG pieces and hang them low enough over the back.

Have the vase of reeds centered on the blank part of the mantle by the tv. NO pics up there as they fight with the pic on the tv. Choose TWO things to put with the vase so you have odd numbers there.

If you are happy with the rug, play of the colors and geometry of it and tie it together with some pillows and art in complimentary colors. If you feel the room is dark, concentrate on lighter color large artwork or gorgeous mirror. A pretty side table at the end of the rug/sofa would be nice too. Think about how to tie in the white fireplace- table? vases? art? pillows? Good luck!

I agree with Dar to a point that a solid rug and then geometric art would give you the "Modern" look you are going for...but since you already have the geometric pattern on the flooring...you should go with SIMPLE art on the walls to keep it from being too busy...modern is clean lines...minimal.......

Modern art that would compliment the colors of your room and keep it clean/simple:

http://fineartamerica.com/featured/soul-catcher-emotive-abstract-art-by-sharon-cummings-sharon-cummings.html

http://fineartamerica.com/featured/sepia-circles-geometrical-modern-art-by-sharon-cummings-sharon-cummings.html

http://fineartamerica.com/featured/perfect-calm-abstract-earth-tone-landscape-blue-sharon-cummings.html

http://fineartamerica.com/featured/mystic-shore-sharon-cummings.html

http://fineartamerica.com/featured/pure-fulfillment-sharon-cummings.html

Yes........modern with clean lines! LOVE it! And look at the colors to choose from with that rug!

You can always do a gallery wrapped canvas (no frame for modern) on one wall and a modern metal wall sculpture for the other.

Perfect combo for the room!

This rug reminds me of '90. But if you like it I am sure you will be able to get the look you want.

Play up the white of the mantle. Lots of white accessories and white framed art. white pillows.... you get it bring in the white. white shaded lamps. try to make it a 50/50 black/ white room. The rug can work if you slide under the sofa. Throw in something red or the rust that is in the rug.

I agree, clean lines. Work that has elements of squares would also tie it to the rug.

Make sure you don't hang it so low that people will easily hit it when they site down or move.
http://angelina-vick.artistwebsites.com/featured/squared-up-1-angelina-vick.html

Feel free to look around and see what inspires you. =)
http://angelina-vick.artistwebsites.com/index.html

Thank you all for your suggestions! I would LOVE to have a lighter coloured rug but that is out of the question as I have daily spills from the little one. The room needs brightening up! Do you think a long 6ft mirror would work on 1 wall and art on the other or should I just stick to art on both walls?

Mirrors work best when they reflect something special.....will that be the case here? Do you already have the mirror or is it on your list of things to buy? Use things that you have right now, such as the rug. It is FINE! Just move it to make it FIT. IF you have the mirror, use it for one of the walls and just find art for the other wall. How about pillows?

Make sure the mirror doesn't face the tv...no good.

I agree with abbyjean to move the rug over so the legs of the sofa. Also, in this case, I wouldn't put up a large mirror because it will look like "this room is too small so I'd better hang a mirror". Your rug is fine to me and I'd recommend a coffee table that doesn't take up much visual space. This one would look great, and the base will complement the new ceiling fixture.

I think you could also use a chair to round out the conversation area and float it from the left of the sofa, angle towards the coffee table and tv. This one is the modern look you want and would work nicely with the other elements.

You could stretch the color from the rug and introduce a bright burnt orange and grays for the sofa pillows. This shag is fun and will bring in texture and a bit brighter space (not lighter, just brighter) as well. I like TerraceGallery's art very much and her idea of art on one wall and a sculpture piece on the other.

If you do a mirror, it should be decorative, bringing in some of the geometric elements in the room. One example is something like this:
http://www.homeclick.com/bassett-mirror-m3048bec-neo-wall-mirror-in-antique-pewter/p-548119.aspx

Another in a starburst design:
http://www.homeclick.com/coaster-furniture-901733-starburst-accent-mirror-in-silver/p-598667.aspx?chnl=cse&ven=pricegrabber&cam=Coaster-Furniture&kw=901733&srccode=cii_5784816&cpncode=31-216826760-2

Like TerraceGallery's idea of a sculptural piece. Another option for a mirror would be a sculptural mirror bringing in TerraceGallery's idea of sculptural piece. An example of this is from a fellow poster's dining room:
https://www.houzz.com/discussions/formal-dining-room-redesign-dsvw-vd~623675

If you are considering displaying original paintings I have several abstracts available - I also offer customs. Cheers !

https://www.etsy.com/shop/gperillo

follow up pics?

Any pics yet?

To make the most of your space and define it, you may want to consider this modular wall system. You can add drawers, shelves and even a screen with the wiring hidden. It can be adapted as your needs change. Here are a few photos:



Best of luck! Let us know if you have any questions.

wall paper would be great!