Is this space intended to be used as a dining room as well, or is there a separate dining room. I also assume the door will be the main point on entry. If the door is main entry and this space is just a living room then I would place an open book case to serve as a landing pad. Other corner across for door is other location. I would place TV console on wall same side as door. Float the sofa directly across from the TV and use the are behind as your walkway. should be room for a chair or two 90 degrees from sofa.

more pics to show what's on the other side of the wall. powder room, pantry kitchen and dining room kitchen is almost done

I don't think the model layout hinders conversation but it's not enough seating for 6. Use newspaper or blue painters tape to layout the furniture in different configurations. Try the 2 sofas facing each other. 1 on the wall where the cabinet is now and 1 opposite. Another way would be 1 on the 3 windows wall and opposite it. 2 small scale swivel chairs could be added

I don't know about the swivel chairs. search around for "small swivel chairs" and check their measurements. you know I was thinking about it last night and realized there's a much more obvious layout for you. this one would give you more room to pass through to the stairs. (depending on the actual size of the room -- my proportions are total guesswork and might be way off.) you could mount the TV on the wall to give a lot of clearance in front of it. of course this means you'd have to slightly block the window off to the right. but it's a functional layout for a tiny room. my inlaws have a layout like this below. the coffee table is massive, but there is still just enough space to pass through. it's a great setup for social situations, lots of snacks and drinks on that table. however, that would be annoying if it's the only way you get from the stairs to the rest of the cabin. you might need to do a smaller coffee table if that's the case. if there's no room for side tables, consider wall mounted lamps to save space.