I think it’s great that you are willing to make trade offs so your home can function better for you/your family. While the kids are young, this is a great option, and especially since the new playroom will be adjacent to the adult living room and just off the kitchen…it’s perfect! Make sure to relocate all of the kid stuff that is in the living room…make that an adult haven!! 👏🏻👏🏻👏🏻👏🏻 Bravo!!!

I agree that we need to make our homes work for us and not be a slave to the builder’s intended use for each room. Those are just suggestions anyway - not rules. You don’t show where that small table in kitchen is but I’d just make sure it’s going to work with a high chair & 3 chairs & then with 4 chairs. Otherwise, I might try to just have a smaller dining table for your main eating area in this DR- assuming this dining room you show is open to kitchen. Then you could change the kitchen eating area to some family use. If you do convert the dining room to play room, consider adding a comfy recliner or love seat & a lamp so you can sit & read while kids play or even more important, a parent & 2 kids can sit on it while parent reads to kids.

"Is this stupid to giving up the dining room space? "

Giving up a dining room space that you rarely use VS a playroom that will be used every day for the next 5,6,7 years? not stupid at all.

We had an L- shaped dining/ living room. We used it as play space and brought in a folding table and folding chairs when we had guests.