Usually when you get side panels you automatically have space on the sides. If you have a full depth cabinet on the top, you automatically have space at the top and in most cases you will have leave at least 1 inch of extra room for the back of the refrigerator, so there is always air circulation since everything is enclosed. In the 70's they use to make a small recessed space behind like Fred said, today you don't have to do that, most Ref have flat backs, recessed wiring, not to mention the supply for ice-maker also comes in a flush mounting kits for the wall... so pretty much everything is recessed and only space you need is for air circulation and 1" is more then enough. In addition, if you make recessed area now and you push ref to far you will never get your doors open so doing all that is a waste of time, in addition most manufacturers starting to make 30" side panels.

First, the furniture is too traditional for a modern look. I would go for a light, airy look to take advantage of the oodles of natural light. Can go for Scandi designs. Look at Ikea for simple inspirations. Would also suggest changing the curtains for plain blinds or even plain curtains in a heavy fabric. Textured fabric will do quite well here, I suppose.

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Hi Sanket, The sizes of a standalone fridge versus a built in differ quite a bit. Your tall units and the microwave, oven segment have their own set sizes. you can add a door to the fridge but it will just out like a sore thumb. It would be advisable to keep the fridge as a separate unit. Best Miloni