SFGate

pybo The curtains appears to be too short for the windows, try mounting the rod higher. Let the curtains go all the way to the floor. The idea is to make the windows appear as large as possible. Go with lighter color like the gray on your feature wall or white or an accent colour. To not chop off and break up the windows do wider panels or pull the panels to far left and right side.

Add a small seating area by the window to relax in.
Transitional Master Bedroom

Also perhaps consider adding a dresser, console table, or desk underneath the wall mounted TV.
Parkwood Road Residence Master Bedroom

decoenthusiaste I suggest you do shades or binds on the windows and mount two single panels floor to ceiling outside the bay as in the post by pybo. Bringing more color and pattern with a big area rug pulled half-way under the bed. You should consider replacing the ceiling fan with a wonderful chandelier or pretty drum chandy. Try painting, papering or doing a faux treatment on the tray ceiling for some interest.

DIAspoton excellent suggestions above. hang black and white photography or sketches, matted in white and framed in silver. the bed seems uninviting. monogrammed shams and a throw across the bottom would help.

lizohamm Thanks everyone! -- How about furniture suggestions for our window area? What would you suggest to put there?

What's Inside Design Ltd. Hi Liz,
You have a beautiful room!
I would recommend a simple blind over the windows and then mounting your drapes on the wall in front of the "bay" area.
I digitally added these to help give you an idea.
Have fun decorating!
Caroline :)

blindsdirectcanada Since you done have alot of space above the frame for a rod I would go with an Ibeam track . An I beam is a thin white track that would be hidden so you wont see any hardware. I would recommend the panels sit on the floor for the best look the ibeam should be mounted to the ceiling .

DIAspoton 2 comfortable swivel base club chairs with modern lines upholstered in a rich charcoal sculptded chenille. it's soft and would add some needed texture. a round gass top table on a chrome base to compliment the bench at the foot of the bed. put a mirror tray with a candle and an orchid or white calla lillies on the table. a fluffy cream color rug to define the space will a bit of fun and romance.

Straight A Builders, Inc. It likely wouldn't take much for an electrician to put a power outlet and video connections inside the wall behind the TV for you.

hollycz When I saw your space, i thought of this photo that I love. It wouldn't be much of an investment to add the trim around the opening of your bay to give it a distinct look. The wainscotting and textured paper would look beautiful as well and add lots of light to your room. Good luck!

decoenthusiaste For the bay, you could use a chaise, a pair of chairs or build in a bench with storage. I'd like a pair of the chairs below - seems to pick up the color from your bed wall.