You could also bring in some texture with bamboo sticks or decorative branches and help balance a bit the height of your room with small scale furniture. Spray paint them if you find the perfect size and shape but they aren't the color that you need. Ikea carries white decorative stalks for a very good price. the ones in the 1st picture hold well with small kids around and you don't need a vase for them. there are washi paper or crinkly paper floor lamps with a soft beautifully diffused glow For a budget friendly version check ikea or target http://www.ikea.com/us/en/catalog/products/80028552/

OK... but the wire wont be lower as it is fixed now. The wire in the pics below is the wall facing each other. They were leveled on equal height but the beam on one wall makes it seem a little above. But i think you guys are absolutely right that up and down lights wont look good there. I think you are right about down lights lessismoore. Would it look good if i go with two different lights on opposite walls??? it would look odd right.

Thank you for posting the pic. Is it just open space opposite the chairs and a blank wall with the entry door? Any windows on that wall? Is that a table showing on the right of this pic, or a counter between living room and kitchen? My first thoughts are that those chairs must be pulled away from the wall and angled in some way, and somehow you need to find space for more seating. Could you angle them towards each other against the room divider, or is that a cupboard you need access to? Then you could turn the table 90 degrees, and place other seating facing the chairs. I'm liking the idea of picking up on colour from the green glass on the table, but I'm not sure how yet. I have a busy day ahead but I hope to check in later.

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.