If the FP is not wood burning, cut logs to fit and treat them for insects. If your FP burns wood then don't treat them and plan to use.

Yvette, to start you need a larger piece of furniture under your TV. This would complement your existing decor and is light enough not to compete with your fireplace. You could hang the existing metal scroll over the fireplace. More pics of the space are needed for advice.

Your proposed design wouldn't function well for me, as I want and need more prep space (as well as a DW.) I also use my island quite a bit for serving (large holiday dinners; parties large and small; pizza night...) Your needs might be much less than mine, so think about whether you'll ever want to entertain or prep and cook a whole meal. It looks like you're planning a table that seats 8-10, but can you prepare, serve, and clean up a meal for that many in the kitchen you have planned? (If you can, you're a much more efficient cook than me.) Also, think about just putting groceries in and taking them out of the refrigerator. Once you open the door, you've blocked your access to the counter next to it. (And if it's right next to the cabinets/counter to the right, the door might not open all the way.) At the very least I'd look for a ref with a door that swings the other way. re: the unused space -- I'd rework the whole kitchen / dining / living / ? areas. Orient your seating to a view; incorporate an entry (looks like the door is just a few feet from the couch?); give yourself a bit more counter space in the kitchen, whether with an island or a different config; include space for a broom closet, small appliances like a mixer, coffee maker, etc.

Maybe something from Ikea that you could use baskets for storage and then open shelves for photos? I'm a big fan of Ikea for short term, inexpensive furniture. Hallax? If that is the right name. I also used Billys for storage in my cramped laundry room; one with a full door and one with open shelves.