So the "rear area" is the area around the original outdoor brick bbq? Is it still operational? That would be awesome.

The fire pit is a good lounge area. You need footrests and a side table for drinks. An outdoor rug.

The bar should be under the covered patio so you and your serving gear are not exposed to the elements when pouring.

You say you want something on the old foundation for privacy but from what? That side of the yard looks private. Instead of a shed, the screened gazebo is a great idea for the foundation area. Bug-free dining.

Play up the old foundation by stacking some of your bricks in different heights on top, and some potted plants on them. It will look cute, and act as a trip hazard barrier.

What about the other half of the yard where the blue house is? You could use some privacy from that direction. A six foot fence would be ideal.

I agree powerwash everything.

IMO all one materila for the whole space is the place to start so figure that out then come back with the floor plan to scale posted here in jpeg formt in a comment.You have a huge area but needs cohesion . The outdoor or BBQ is only great if useable otherwise just a big brick thing you have to work around IMO a 2 step up and more of the same brick for the gray part to make it all one or a free standing deck to transition form one finish to the next .

Maybe rearrange the sofas and coffee table like this (photo below)? Add planter boxes and a bench against the shed-to-be and a third planter at the house side of the fireplace? (If you're handy, those can be built for nearly free from pallet wood and some paint.) If the grilling area of the fireplace is not used, maybe move the portable grill to the far end, cover the brick fire/grill cavity with a solid surface, and use that whole side of the fireplace as a buffet counter for serving food and drinks? You can stand at the far end of the fireplace and tend to both grilling and serving.

I also added a tree and shrubs near the blue house for shade and privacy and enhanced the plantings in the raised bed. Someday you might want to dress up the block retaining wall and the concrete patio, but for now, power-washing (as others have suggested) should be enough. Looks like you need storage too, so yes, enclosing some of the roofed area for that purpose is a great idea.

Power wash yes. 'Big brick thing' you are clearly ignoring...is it useful at all other wise it's hugely in the way. Can you integrate a modern bbq in it??? The old foundation is an eye sore on top of a trip hazard. If you need the storage put up a yard barn but be mindful of the look of the wall that will be the back drop of your firepit area. What is the brick box under the awning? It appears to be a barrier to making that a lovely covered sitting/bar area. Where in the world is this? How much outside time is there in your climate. The comment about the tree has me wondering if the firepit will be used much. When outside leaves/bugs/twigs are part of the ambiance. Here's the bottom line your current outdoor seating does not look cohesive to the worn out look of the cement and the old foundation. Clear it all out, power wash it good. Map it out like Patricia asked and return.

thank you all for your comments and suggestions. I'm amazed at the creative minds that you all have! I will try to respond to each of you below:

@Lyn Nielson I do plan on adding vertical slats. I agree, the view from my place is OK, but it's a major eyesore for the neighbors.

@tracefloyd Yes the long time owner of the house was a brick mason. He built the firepit a LONG time ago. The other side of the firepit is an outdoor grill (haven't gotten around to cleaning it and find a grate to fit it). The rear of my house backs up to a church parking lot as well as the new house built next to mine. Looking for some privacy there. Good idea on building the wall to rid of the trip hazard. I will very very likely end up doing that myself. Thanks!

@simplynaturalI I LOVE your vision and am going to rearrange as soon as I get back!! I just couldn't figure out the best setup for the outdoor furniture but you are spot on. Thank you!

@arcy_gw Yes, I do use the fire pit in the colder months. I "rebuilt" it not too long ago with a new ring and rocks. Will take and share better pictures soon. The backside of the fire pit is actually a grill built by the previous longtime owner (he was a brick mason). I'm looking to get a storage shed that matches the house and brick color scheme. The brick box is actually an old wood stove.. the house was built in 1956 and the wood stove has a motor and ductwork that used to run right into the wall of the house but was covered and sealed off (when central HVAC was installed 20+ years back). I want to demo it but have to hire that work to a professional. I'm located in Franklinton, NC, a small town about 30-40 minutes north of Raleigh, NC. The large pecan tree does shed quite a bit and bugs are handled with a daily dose of bug repellant and once a month visits from pest control. Eventually I want to trim the limbs of the tree that hang over this rear area.

thank you all! I have some homework to do and will report back!

Okay, I'm making more sense of the photos.

So the two-story building that your yard backs up to is a Church? I was wondering why there was no separation between your back lawn and the next door neighbor's lawn.

If that is the Church then there would be no reason to add a privacy fence between your yard and the Church building.