We've got a direct vent (through the roof) gas fireplace in our current home and I can tell you it's gotten hot enough when we're running it to damage the paint job on the paneling above (cracks in the gaps, where the wood heats and expands/contracts). Seeing that, I certainly wouldn't want to put an expensive TV above a unit you actually plan to use and, honestly, if you're not going to use the fireplace, what's the point in having one?

So apparently my email notifications still don't work. They never have, actually. Anyway, some replies and thoughts: It's not symmetrical now; there's a door to the left of the fireplace. I had a fixed lens on my camera for that pic, so I'll try to get a wider shot later. I can't do any of those lovely symmetrical built-in ideas we see in bungalow pictures. There's no (good) way to get electricity above the mantel. So a permanent TV there is basically out. On the other hand, there's an outlet in the floor directly under that high window, perfect for wiring a built-in. The chair is sticking 10-15" into the doorway already, depending on the angle. It's not really a problem (it's a wide french door) and it's really worth having a chair there. 6 more inches might make it a problem though. You're right - a shallow cupboard doesn't look as odd because the depth can't be easily seen. The lack of one on the other side of the fireplace gives it away a bit, though. It's not, I don't think, an awkward spot for the TV. The picture above was taken over the corner of an L-shaped sectional. So the sectional is basically facing that corner. I suspect this is an improvement that would be appreciated, not removed, by a future owner. Most people want TVs in the living room, and the over-the-fireplace is going to be difficult for anyone. (It's an exterior masonry wall, plus the chimney is there.) And a well-done built-in would really add to the character of the house. Any sort of sound system is going to be really awkward with the TV in the corner. Probably would have to just deal with the TV's built-in sound. It would be nice if the TV was actually in the corner, at an angle, when in use. I'll have to think about if that can be done with some clever slides or something. I wonder if I'm deluding myself about the occasional-ness of use. Maybe I'd watch TV more if there were one in our cozy living room. Maybe that's a bad thing! (edit, I just measured and the bricks are 9" from the wall. 6" is probably the smallest I could make a cabinet to house a TV but I could go slightly deeper.) This post was edited by elofgren on Thu, Jul 18, 13 at 12:37

It depends how you want to use the space. Two tall bookshelves would be great if you have books and objects to style with. If you entertain frequently, a bar cart on one side with a low bookcase on the other would be fun! You can add art or mirrors above. See below for inspiration images. Good luck!

Agree with the above about using it for a safe and hiding it with art or cabinet doors if you decide to keep the niche. You could get really creative with the hidden storage idea. The other alternative is to do as saypoint suggests and drywall over it. Suezbell has an excellent idea about having hidden storage where the hinges and knobs aren't visible. See this idea with a bookshelf door into a hidden room. Could be very cool. Or, revamp your entire FP. Right now it looks a tiny bit squished with that top heavy niche surround. JMO.