I would reverse the two..let the couch wrap into the corner under the window, and move the loveseat into the room, with the back to the island, facing the wall it's now on. Put a pin-up swing-arm lamp on the long wall behind the angled part of the sofa to give you light in the corner. Put a low table along the wall the couch is now on, long enough to fill the space between the edge of the sofa and the side of the loveseat (under the long window, facing the fireplace), which will serve as a side table for both the short end of the couch and the loveseat, Put a nice big lamp on it. Hang a big mirror on the wall over the sofa (where the loveseat is now), and put a slender floor lamp beside it (on the right, as you look at the first photo). Add a modest-sized, slender-legged glass-topped coffee table in the middle. You will then have a conversation area organized around the fireplace, warm lighting for the area, and a sense that the room is its own space. If I am seeing the photos correctly, you will have enough room to walk around behind the loveseat. If you have another 9" or so, put a long low bookcase behind the loveseat, facing the tile surface I see in the foregraound, to anchor it, perhaps to give you room for your cookbooks, and to provide another surface in the shared space between the family room and kitchen peninsula.

Hmmmm...not knowing the rest of your room it's hard to tell for scale and balance. Can you take a picture of the whole wall with the sofa table? One thing that hits me with the pic you posted is the two tables near each other, each with one thing hanging over it and each with one lamp. Have you tried to switch the sofa table and the desk? Or to move the sofa table behind the new sofa, and put the desk where the table was? Just a few wonderings... Anyway, please post more pics so we can get a feel for the whole space.

Measure your sofa length. A good width for artwork over a sofa is two/thirds the length of the sofa. Round up or down to the nearest standard size. Frame style is a personal preference. As for color, if you like coordinated things, pick art with some blue in it, like the sofa.

I like the banquette ideas from DecoEnthusiaste, above. If you put comfortable banquette seating under the windows, put the TV on the wall perpendicular to the slider, and get an adjustable height table that can be switched from coffee table to dining height, it might work. But very expensive if you’re going to go custom. How many people in your family? Is there any way to make that room just a seating area/tv but build table height counter seating under the bar counter for eating? Here’s an example: