Long console on the TV wall and TV siting on console. Lose the shutter as they are taking up real estate and breaking up the room; replace with cell shades or blinds, add stationary curtain panels. Center the sofa on the long wall and center the art work about 5 inches bottom of art from top of sofa back. Place your two chairs on either side of sofa on an angle so you can see tv from all seating areas. Buy two small cubes to act as ottoman/cocktail table area for extra seating and stuff. Add matching end tables and matching big lamps on each end of sofa and large piece of art over sofa; think Pier !, TJMaxx, etc. Post pictures. paint the room all one color for unity and to make it appear bigger. Here are some ideas of smaller compact sofas. And they seem to have room to add your two small chairs for extra seating.

I've had a house with a small LR where the door opened directly into the room. I used a 60" love seat and floated it facing the fireplace, and then put two chairs on either side of the fireplace. Of course, we didn't have a TV in the room, so you would probably put one chair on either side of the sofa, so one could watch the TV, which I assume is going over the fireplace. In the end, we actually built a wall with an opening into the LR. Everyone told us not to do this as it would make the LR too small. Well, the LR was going to have a pathway to the rest of the house from the front door, so at least we now had a wall where we could put things up against. We were very glad we did this, and subsequent owners of this house have told me they loved having that wall!

To groveraxle: When I said.." there is no other place for piano.." I mean that in our apartment, we don't have any other place to move piano ( den or bedrooms). Only place it is living room. And yes, I will definitely move piano to the other wall, next to the book shelf. See, I have more plans to update the room. I want pain wall some different color, want to strip popcorn ceiling, the bookshelf I want to re make it with more lighter material and not as deep as present and may be add glass doors. Also not sure about carper on the floor, should change it to wood floor? It all project for later but I want to see whole picture for the room and I find it really hard Thanks again for helping =)

@Elyse Thomas we mocked your room to approx dimensions with some minor simplification. we have some initial thoughts. in the following layout styled in Boho-glam just, for example, In this arrangement fireplace with TV is acting as a focal point to the entire room. Connecting 3 spaces at the same time one is your main conversation area which has ample seating, second is a small cozy conversation area by the garden door and third is the dining space. This layout has ample seating yet it has enough space to move around the room freely. We have created more layout for your room here. You can also view this room in a 360 photorealistic format here. You can add or replace furniture and move them around to create your own layouts in interactive 3D designs here and also render your own photorealistic images! Lets us know your feedback on designs. we are happy to iterate the designs with you and make your perfect room together. Happy decorating!!