Something fresh and contemporary with a touch of transitional. Paint can do wonders and a soft tone on the walls really brightens up the place.

I would suggest a natural wood stain for the floors, gray is no longer trending.

I see you like blue and gray.

Look at Benjamin Moore Healing Aloe for the walls. Goes with natural wood tones and grays, charcoal/black, white and blues. They pair it with Steam for white trim.

• Walls Healing Aloe flat finish
• Handrails a deep Charcoal black gloss enamel
• Spindles Steam white semi gloss
• Fireplace surround the deep Charcoal black in satin finish
• Room trim and upper niche Steam white in semi-gloss
• A botanical wallpaper for the back room
• Black metals in decor and furnishings
• Gray, white and blue fabrics and rug that coordinate with paint color.
• Blue stair runner

https://www.benjaminmoore.com/en-us/paint-colors/color/1562/healing-aloe

The top one:

Here is a rough rendering of my concept for the bones of the room. Don't worry about the tall corner...art should still be at normal height even with tall ceilings. The tall mirror reflects the new chandelier. Center the seating around the fireplace.

For a hanging light fixture that is in line of sight as you use the stairs, a globe light like capiz shell would be soft on the eyes and eliminate glare. I'm not sure if this one is big enough but I like the black trim.

Here someone transformed their bedroom with Healing Aloe:

The color is very saturated in their photos but if you do an image search you see the color changes depending on the light...which is good.

https://yourmoderncottage.com/refresh-your-master-bedroom-suite/

if you paint the woodwork white or color of your choice first I think that helps with visualizing. Painting walls without a vision is fine if that’s the part you already know what you want, if it isn’t then identify the details you know. I would change the banisters on the stairs or paint then if budget is limited. That would be the only expensive renovation I would chose if I had to chose one based on what you seem to want. Make sure to take lots of photos before you change things! I wish my family remembered to do thag before we completely transformed my grandfathers home from what it was to almost unrecognizable lol. Also, my mother and I decided to design each room with one little nod to what it used to be, we are sentimental so if you are to.. maybe try to do the same sort of thing! For example, my mom changed the blue carpet in our living room to a fancy tile she liked but since my fathers mother loved blue (which was why the blue carpet was so blue) we painted the ceiling blue!

Have you had a chance to review my ideas and my rendering? Any comments?