Hi! I think a sitting room would be great! what if you got four chairs and a table or two chairs and a table so that you could read, relax, or have guests over in this area? Here are a few ideas (I attached a few different price ranges and colors that would go with what I think are gray walls):
http://deciture.com/shop/furniture/9/pacific-blue-elliott-wingback-chair/

http://deciture.com/shop/furniture/9/magnet-elliot-wingback-chair/

http://deciture.com/shop/furniture/7/Alice-Barrel-Chair/

http://deciture.com/shop/furniture/7/custom-dodson-upholstered-loveseat/

http://deciture.com/shop/furniture/12/clinton-loveseat-charcoal/

http://deciture.com/shop/furniture/7/knot-coffee-table/

http://deciture.com/shop/furniture/7/sylvan-coffee-table/

Hope this helps!

As said by the the great American Architect, Louis Sullivan, "form follows function." This room needs a PURPOSE based on how your family functions. You can focus on how it looks once you figure out how it will clean up another space or add to what you can do in your house.

1. Are people squabbling over TV vs video game? Make it a game room...
2. are papers littering the kitchnen table and ipads constantly plugged in where the toaster oven is? make it an office/reading room
3. do you entertain at home? if Sunday football is always on, maybe you want a bar, second tv

(we all have our own thing--I like to grow my annual flowers from seed, so my guest room that is infrequently used has my little green houses in front of the windows and has a very English garden look.)

you can even combine some of these ideas