I'm not clear if you've replaced the vanities, which do need replacing if you're going to the expense of new granite, sink, and faucet. I don't see why you'd want to make those permanent, expensive changes based around a design scheme of outdated peach wallpaper.

what color are your floors? I like both,,,the ikat seems to be a little more vibrant, busy, more 'citrus-y'. first one is fine too. maybe because of the vertical pattern, will give the room a bit more 'visual height' ?

I was trying to find a bunch of examples that match what you're doing. Here's what I found. This is close to your shelf design. notice how there is no trim. keep the brown inner shelves, but remove the trimwork casing. (or, just paint it the wall color) similar paper, but the niche is done in white kind of what you have. (no paper no shelving, but I liked the crown trim and the style of the pendant no shelving on the recessed portion, but I like how the did the trim panel work around the bed almost same paper shown here w/white trimwork. I like the crisp white and the other elements since you were concerned about the shelf not going all the way up, what if you did the trim in something wider to eat up the space?

I'm confused. Why do you need a rod pocket if your are using hooks and rings? I would get a linen in a color of the background. As much as I like orange, I think it will upstage the wall paper. Do you have to mount it on the outside, because the interior screen takes up the depth? Take a look on Vermont Country Store. Many of my rooms have curtains from them. I like these Sheers in Natural.