Can you post a picture from further away of the entire back of the house and post it as a comment.

I'm thinking you need to connect both spaces

We are planning to connect with paver walkway

Thanks for the added photos. Great yard.

Have you considered coming out from the corner where the grill is and the corner where the square window on the left is out to the green chairs (or deeper if necessary for function)? I think moving the AC unit is going to expensive and do you really want it on the side to be seen from the front of the house.

I would consider either a single patio that spans the entire back of the yard or at least having the patio on the right go out deeper into the yard and connect to the back door as a single patio. You could make it special with a pergola. You'll definitely want to evaluate whether you can move the AC before building a patio. I don't think it'd be worth having a patio there if the AC unit is there. If the AC unit cannot move, consider making a patio that extends off the back of the house but does not use that corner space where the AC unit is. For the smaller patio, you could install a small water feature such as a pondless waterfall to make a little resting zen space with some loung chairs.

Those a great ideas. i did a little research and moving the AC unit is no longer an option. Just curious…do you see any non-patio use for the space right of the unit? it just seems wasted. We use the rest of the yard for yard games and socializing.

Wow @Dig Doug's Designs that really uses the space the OP wanted and hides the AC unit very nice

Your outdoor area needs to be right out of the door, otherwise you won’t really use it. You also have a downspout and your yard is graded to move water away from your house. You still need to move water from the gutters away from the house if you decide to build a patio in the drainage area.

Fancy, Doug! Thanks for the design image. Lile larger patio immediately outside the door. My camera makes yard look deeper than it is. If patio sticks out that far, it will limit running area for free-range grandson. I’m attaching more pics of yard, so you can see what I mean. Total yard is 1/3 acre and house is pretty much in center.

SWF, you make a good point about the drainage area. We will keep that in mind in whatever design we decide on.