This is a close up of a tweedy type rug that might work for you - I just think a darker rug will cozy up the area and complement the ottoman so much better.... This rug has been discontinued and the remaining sizes are probably too big for your space, but it might be a direction to be looking, if it appeals to you: Something like this might work, too. I can't tell for sure about the colors but Pottery Barn has samples available in store if there is one near you, refundable deposit when returned:

The best setup is not sofa facing far wall. With that set up, the sofa will be in the entry and/or right up on top of fireplace at strange angle. From a Feng Shui standpoint best place for sofa in that space is anchored on the far wall. That far wall was not designed for a tv. That is where the sofa should be. The tv would probably not even need an extension arm when mounted on wall where orange box is in picture. I was just offering that as an extra option so that OP could see how doable it is. Plus, if they wanted to watch tv from dining area they could with an extension arm, but that is probably not necessary. I am aware of entrances, etc. TV could be flush to that side wall and they could probably still view it fine. But having some angling capability, even slight angling capability, could make it more comfortable perhaps. That is really the best setup given their space. A couple of streamlined swivel chairs could complete seating arrangement.

Marie13100, I mentioned in the beginning we are in the process of remodeling our kitchen and we needed to move the dining table into our living room temporarily and cover everything from the dust. Lynn G, you’re right. Having to look at the wall would be a bit depressing. The most recent floor plan I posted that had the sectional along the window and long wall would be perfect because we can view directly outside the patio door which is in the dining room.

I'm going to offer an idea outside the norm. Take down the coat storage(use closet) and pictures. Place the tv on that wall. Replace the sofa with a sofa and chaise from Ikea for $1500 Link. plus an ottoman. Many styles. Pocketed coil cushions will last. Cover is removable. 10-year warranty. You can place it up perpendicular to the window to leave room behind for desks or storage. Paint the door the wall color or replace it with a flat panel door to blend it in.