This arrangement works much better, but some adjustments are needed to make it work. First, the fireplace grouping needs to be tightened. It crowds the dining area and you need a passageway behind the couch. Turn the rug lengthwise, parallel to the fireplace. Pull the large couch about 2 1/2 feet closer to the fireplace, and place the two chairs and loveseat on the ends of the rug, and pull them closer together. This will give you a more intimate conversation area, and not impose on the other areas of the room. Remove that floor lamp from behind the couch. If you need the light in that area, put it by the fireplace. Also, the stereo system on the mantel needs to find another home. Maybe it can go IN the fireplace instead. At the other end of the room, I think the arrangement would look better if the seating were rotated 90 degrees. Keep the rug and coffee table in its current configuration, place the sofa either facing the window or with its back to the window, and put the two chairs opposite it. Finally, the dining area. Now that you've moved the big leather chairs, you should have enough room. Your rug is too small. It should be big enough to give you at least a 2 ft. border all the way around when the chairs are pushed in. And it's a really beautiful table; please uncover it. I can't see what kind of lighting that area has. It really needs a pendant or chandelier hanging directly over the table.

It posted! So it looks like you might have enough room for a small sofa. Here is a small curved sectional that could work in this space. You could add two chairs facing the sofa as well: http://www.wayfair.com/Piedmont-Furniture-Lucy-2-Piece-Sectional-DQPG1047.html Or a black leather love seat ( and two or three chairs facing it): http://www.wayfair.com/Flash-Furniture-Hercules-Imperial-Series-Leather-Love-Seat-FFC1995.html Some awesome club chairs : http://www.cymax.com/Coaster-Accent-Chair-in-Bird-and-Branch-Pattern-460406.htm http://www.wayfair.com/Monarch-Specialties-Inc.-Vintage-French-Fabric-Arm-Chair-and-Ottoman-I-8058-MNQ2448.html and I know you have black and white as your colors but know that you can add some color with pillows or even with some chairs - red, purple. yellow or orange would be fun. Some ideas: http://www.wayfair.com/Armen-Living-1404-Club-Chair-ARA2244.html?piid%5B0%5D=10031715 http://www.wayfair.com/Colt-Modern-Club-Chair-CSTD1445-CSTD1445.html?piid%5B0%5D=15331005 http://www.overstock.com/Home-Garden/Furniture-of-America-Gianne-Contemporary-Striped-Club-Chair/9998516/product.html?refccid=URVAVNNNBEDJ6QKB34JHV4DQW4&searchidx=10 http://www.overstock.com/Home-Garden/angelo-HOME-Provence-Purple-Sutton-Arm-Chair/9066837/product.html?refccid=MCJCMZ7EU42L4U2HJYM22YNIFA&searchidx=13

I feel partitions are not needed. You already have too much for the space. Adding a partition will shrink the space further. The simplistic solution, you do not wish to discard any furniture would be to paint all the walls in lighter pastles. And use some wall painting frames to highlight certain walls.

Since the light is already low, there is no need for dark curtains at all. White sheets are enough. Upholstery should be changed to a plain light colour. Since you seem to like blue, a soft sky-blue is fine. You can if you want a little drama, add striped blue and white or grey and white wall paper. Like this