SFGate

www.etsy.com/shop/NewJerseyAccents I think a knee wall made of built-ins, with a center opening to the living room would be a great idea. It will give you more privacy, more storage and more wall space.

olldbobbi A built-in could work, but since you have so much space there how about a bench to sit and remove your shoes, and baskets below it to store them? The one thing that worries me is the step down into the living room. Since the floor color is the same throughout I can see me missing that step altogether. I would want some kind of a runner at the base of the step to show me there is a step there. I would also want an area rug under the coffee table. Your floors are gorgeous!

[houzz=Jamie Snavley]
[houzz=Corolla Area Rug]

olldroo I'm concerned that you seem to have a lack of natural light in the area. I would assume you would want to put the TV opposite the lounge and allowing for the fact that this room would be a major passageway as well, it does not appear that you have a lot of room for much else. I like the idea of a low wall to divide the entry and lounge, but I would put the opening off centre to allow for a sectional to go the other side of the longer wall and along the wall opposite where you have your lounge now. A single chair at the other end will give you extra seating and a nice conversation area. The wall with the TV could be fitted with as little or as much storage as you need. .

A bench as bobbi suggests would look welcoming. Are there windows on opposite sides of the entry or only on the one side? Definitely that step needs to be highlighted, I know I would step into space also.

orangecamera Looking at it from the front door, put a bench along the top of the step on the right side. Put a short bookcase on the left side, also along the step.

Leave space between them for a walkway.

Then on the living room floor, put taller bookcases back to back with the pieces above. Let them be taller than what's on the upper level to create visual interest.

To clarify, on the right is a bench back to back with a bookcase. On the left are 2 bookcases back to back.

Keep the lines of the furniture simple to keep a clean modern look. But make the bench cozy with a nice cushion, and display you favorite things on the shelves to bring in your personality.

(For safety, screw together each back-to-back pair, and attach to wall and/or floor so nothing topples)

tresstars First let me say, I love this space.

Now, I would start by installing a full view exterior door to allow more light in. Next, tile the entry to break up the continuous wood. Make sure to use something lighter to prevent falls from that step down into the living space. Finally, two console tables on both sides of the door would be nice. You could have tables with drawers to keep the clutter down.

Lighting and color selection are going to be key in this space because of the lack of natural light. I would keep everything bright with the exception of the floors, and maybe the tables. Mirrors can also do a lot to help reflect the light.

apennameandthata With the step down, you naturally have two different spaces, the entry and the lounge. If you put rugs the correct size in each space, they will become visually different spaces. If you have practicable furniture on either side of the door, that is visually balanced from across the room, you will have a great space. Could have a table to put junk on and, depending on climate, somewhere for other stuff. Houzz will have inspiration.

As for the lounge, you will need to make sure that there is wide circulation space right through the middle. It will have two axies: one through the TV and one at right angles through the front door. A problem is that the exit is not in the centre line. You might need to ditch the coffee table and get twin tables for each side of the lounge so that the circulation space is free.

DO NOT spend a cent until you have a completed mood board, and a scale model. This will save pain, big time.

Too, create interest with lighting.

I agree with tresstars, it really is a nice space.

nap_sd I agree with oldroo, that the low wall needs to be offset to the right (as we look at the photo) to create a location to position your seating area, as you don't want travel through the center of your entertaining space. I also love the comment to replace your front door with a single-lite french door for light.

accordfreak thank you all for the suggestions!! a big help! I'll take all the suggestions and see what I can create with a mood board. will update later. thanks again!

Interiors International, Inc. I like the built in idea. I would not do a centered opening though. Build a low bookcase and put a sectional up against it. By not having it directly opening even with the door gives you more of a visual break and creates a foyer.