I like the roman chamomile with daisetta on the back wall.

What are the big red scratch-outs? Furniture you aren't keeping? First step is the couch, second is the rug and third is the paint. Paint color should be based on fabrics and textiles (seating and rug) in the room. It can be custom blended, but the furniture is set in stone. When you shop for the rug, it should be 2-4 feet wider than the sofa. Slip it under the front 1/3 of the sofa and have it extend past the ends by 1-2 feet. You can use painter's tape on the floor to figure out the best size for your sofa and room. I'd replace the dining rug too, so the two are coordinated. In addition, push your TV credenza against the wall and put the TV on a swivel base to adjust for viewing.

Tara, your dilemma kept digging at me. I happen to be shopping for furniture for my living room right now, and it is also a challenge - completely different challenge, but difficult all the same. I have been looking at Stressless furniture and one of the photos that they have on their website doesn't have a sofa - just chairs. It is a very modern look, and today, as decoenthusiast pointed out - people don't really like to sit close together. Then I thought about the home I grew up in. We had a family room with a door, then a sofa then a recliner on one wall and across from the door was a big round table where we ate most of our meals. Next to the table was the TV and then my mom's desk. The 3rd wall was all bookshelves with cabinet lowers. My mom and my aunt usually sat next to each other on the sofa, my dad sat in the recliner and the kids sat at the table or laid on the floor to watch tv. We had 6 kids. It worked. The is what I came up with I used a free app from a furniture store on the internet, so colors weren't options and some of the choices were limited, (Why you have a mirror instead of a TV) but I think you could do something like this - maybe two storage hassocks in the corner so that someone in a club chair could use one to prop their feet up. Pillow and blanket could be stowed in each for the kids to use to lay on the floor.

I would absolutely put the TV on the bookcase, couch with back to the door (looks like 1 door, not french?). That would leave you about 12' from back of couch to bookcase wall. Then get 1-2 chairs (swivel) for the side near the kitchen. You can test out that layout by rotating your sectional. You COULD get another sectional but the chairs provide more room to move. You could get small benches that you could use either for seating or for ottomans. We have these and love them. They flank our fireplace when not in use: https://www.birchlane.com/Birch-Lane%E2%84%A2--Pippa-Lombax-24-Wide-Upholstered-Iron-Accent-Stool-X211211406-L295-K~B100001820.html?refid=GX695405531987-B100001820&device=c&ptid=352059012885&network=g&ireid=164244899&targetid=pla-352059012885&gad_source=1&gclid=Cj0KCQjw3ZayBhDRARIsAPWzx8pMwJG9IJXPgS2IZ6pq86KBV_MTcEQl-jaOBkf7bFrjYIiqzqqWeWkaAnkAEALw_wcB