It looks like you want a more modern feel to that wall. Is the FP gas? If so then the inspo pic would work I think. I am not a lover of shelving filled to overflowing with stuff that needs no reason for display . I do not like family photos in public spaces and a bunch of knick knacks that are not really special just need more dusting thta I am wanting to do. So maybe a bit more info as to what you mean when you say update IMO no place for crown and your furniture is sparce but very traditional so the inspo pic while doable does not IMO work with your style. I also not not like the mix in the inspo pic of thevery contempory wall and traditional surround together . I need mor einfo please and you need a lot better lighting. I assume you have agreat vie hence the furniture not facing the FP . I think reworking the FP and still not having it a focal lpoint is kind of a waste.

glass shelves?

Is there a bit of space behind the shelves?

remove them all and cover the mirror(s) with paper and replace the shelves

... see what you think of the shelves without a mirror back.

the mirrors aren't helping with lighting, just paint the room a lighter color.

at least the furniture legs on should all be ON the rug.

Nice inspo pix.

Thank you. We have a nice pond and it is the view from the room. I had the shelves so I put something on them but I really am not a fan of open shelving. (I hate to dust). I even considered adding doors to the uppers because I appreciate the storage. As the fireplace is currently, it is too high to add the tv above the mantel. I considered removing the shelves to the right of the fireplace and putting the tv there. I agree that there is no real focal point in the room. We plan on getting new furniture and a larger rug. What do you think about the beam? The house was built mid 90s and I just want a little fresher look. I was going to add crown moulding to the top of the built-ins. I have crown in the rest of the house but not in this room because of the vaulted ceiling. I also was thinking of adding lights to the built-ins to help with lighting in the room. That is another project.

First of all, I think your room is really very lovely! The ceilings are great, the wood floors are gorgeous, and honestly, I like the wood built ins. I may be biased since I like stained wood in general and I think it can bring a lot of warmth to a room. That said, I can also understand why you might not.

Just throwing out some ideas, I do agree with @Lyn Nielson that the mirrors on the built ins are not ideal and I think it would be a vast improvement to cover or remove them. One option might be to remove the entire top portion of the built in and keep the low cabinets. Or keep the upper part, but remove or cover the mirrors. You don't even have to put the glass shelves back! You could put equal sized large art in either of them, or maybe a TV on one side (if you need one) and art in the other. Like @Patricia Colwell Consulting I'm not a big fan of small family photos or decorative doo-dads on small shelves. I'd rather see fewer larger pieces.

If you do opt to undertake the whole effort, you could certainly paint out the built ins. (Makes me a little sad, but this is your home not mine.) You could also remove the stone and redo the mantle and surround to painted wood. I do think your inspiration is lovely. One thing to consider is that your fireplace chimney is substantially narrower in relation to the cabinets than your inspiration. With the size of the insert edge, you may not be able to do the vertical legs (not sure if that's the right word) of the mantle plus the trimwork plus the tile or painted brick.

Also, just a reminder that even if your home was built as late as the 1990s, popcorn ceilings can contain asbestos (from previously manufactured materials). So make sure to get it tested before you begin demo! It's not worth lung cancer for you and your family to proceed without testing. I say this as someone who had popcorn containing asbestos in my previous home.

I love the drama of the two story fireplace. I would play that up by using the same stone all the way to the ceiling, like the photo below. Before removing the builtins or the mirrors, I would try just leaving one glass shelf on both sides and styling with plants. I love the light in the room and the plants would look very lush reflected in the mirror.