Try a chaise sofa and one chair in the TV room so you have room for kids play area. In the living room use a 3-seat sofa and two chairs grouped around a coffee table and use floor lamp flanking the sofa.

If this is the only room for a TV, the you need to decide where the TV will go for the best viewing. The sofa will go opposite that and then you can deal with what is left over. But if your hear is set on a 60" dining table you will need a 120" diameter space for the table and dining chairs around it.....that being said, place your dining table to accommodate what you want your dining area to be, then place TV and sofa. As you make one decision, may other possible decisions will fall away. Some examples of dining in a great room. 1. Floating near sofa and kitchen 2. Circular dining area, but still floating. 3. great room next to round dining room 4. dining table between kitchen and family room areas.

Turn your sofa to face the TV/fireplace. You may not have any space between the wall and arm of your sofa. Maybe get a narrow table for behind the sofa for lamps. If you get a new sofa, don't do crazy oversized -- 84" is plenty long (I bought a 3-seater that's less than 72"!). Place your loveseat where they had theirs, next to the sliding doors. You now have L-seating great for conversations, and TV. I would suggest a sofa or loveseat with 2 chairs or one larger chair & ottoman if you purchase new instead of a sofa AND loveseat. And don't buy a sectional! If you could get dimensions of the space and your furniture, and photos of your furniture, that would be helpful. Their set-up looked great, though I don't understand the sofa placement unless sizing was an issue.

@Elaine Doremus Resumes Written Thanks for the response. We have a growing family - currently 2 adults and an infant, with another one on the way. This room will be used a a great deal and ideally the couch(s) we choose will last us for years and years to come. I am so back and forth between a sectional or arranging the room with sofas/chairs - I feel as though a sectional is more inviting for a family with kids but I'm afraid of crowding the space. I went to PB today and fell in love with their slipcovered York Sofa so am considering maybe two couches on either side of the room? Then I worry that the couches are too far apart, leaving awkward space in between. Decisions!