Yes, it certainly CAN work. The throw that you have over the back of the leather sofa unites the two colors. Maybe try to find pillows that have both the leather sofa and the gray(?) sofa colors in them. Some pics shown HERE. Note the two prints that you have above the gray sofa - Here are more prints, but of stormy beach scenes. Look for fabrics/pillows in those tones. (If you can lower those prints to about 8" above the sofa, they'll look much better.) Stormy ocean prints

The chairs are nice, but its too bad about that sectional. It basically ruins any possibility of arranging to be able to take advantage of the floor outlets. A 3-seat sofa with the two chairs, a sofa table and some lamps would have been better, but if this is to be the only TV room, I guess it has to work. There is certainly too much space between the sofa and chairs for any conversation to go on, and the distance from sofa to TV may be too great for best viewing. Do some measuring and maybe you can tweak the sectional closer to the TV and chairs. If you can return it, I think the room has space for a sofa/chair set up as well as a family game table, but not with that monster sectional. If you must have a place to stretch out, a reversible chaise sofa that you can change from right to left would be a better investment.

Hi Lynnea, apologies for the delay. I created a 3D version of your room based on the plan you provided. Let the room look n feel open and spacious.You can have the main seating area in the fireplace room. I placed an open tall unit in the corner to make use of the space.The TV unit is placed on the wall opposite to the sofa so it can be viewed from any part of the room. If you can get rid of the built in, it would be better. If not you can use the space to place books and decor items. Add a chair, floor lamp and plant to create a reading space. If the TV is placed inside the built-in, watching TV from the far end of the room may not be very comfortable. This layout creates 2 separate areas that can easily be used as one. Hope this helps. We could work on more layouts too if you'd like any changes.

Thanks, all! I appreciate the confirmation. I abandoned the idea of painting the tile and have come around to the combination.  It doesn't not work. :) I've spent the last two weeks absolutely obsessing over color. Someone on here suggested BM Steam, which I think is almost perfect, but I need something slightly darker. Am contemplating doing a different shade on the ceiling and on the far wall. Has anyone here used Farrow and Ball? Any opinions on whether it's worth the extra money? We'd probably use a regular (less expensive) primer. I know it sounds crazy to spend that much time/money obsessing over the color of my walls, but when we first moved in I painted our walls BM Classic Gray but 30% lighter on a whim and have hated it every day for five years. It's this anemic blah color that just drains the surroundings. I want something really beautiful.  Anyway, thanks do much for the feedback!