I would do a couch against the longer wall with an interesting cocktail table and one- side table on the right side of the couch, a set of comfy chairs and a small round table in front of the windows. I would also add next to either side of the fireplace one or two small cushioned benches for guests when you do have 8. I would complete this in neutral grays or beiges of varying tone on tone patterns so that you can add in colors for the seasons.

Wow that is fantastic, Rachel!

Just searched 'corner fireplace'! I have one too so I already had 2 of these in my ideabooks.

Hey thanks for the ideas. I did forget to mention that the TV is going to be over the fireplace so furniture would have to be placed accordingly...keep the ideas coming...

I would do an L shaped or chaise lounge couch to take advantage of the fireplace and window. With that type of couch, you could have the TV on a low tv stand to the right of fireplace. Looks a little high above fireplace for the tv...? You could then add a little round table and two small accent chairs in front of windows. (I answered this in another thread... ) My idea is almost exactly like that Camelot Reserve photo above, but flipped. Chairs in front of window, couch facing fireplace/tv.

Something that you can sit on and stretch out...

How about a circular sectional to face the fireplace/TV and a couple of accent chairs ;)