I think it is six of one and half dozen of the other, but I would paint the wall beneath the chair rail white. BTW, gray is not as in favor as it once was. Fabrics and textiles should be the basis for your color choice.

Thanks! yes the wall paper is more of a taupe to move away from the gray. what color should i paint that 4th wall though?

I love that subtle wallpaper. The section beneath the wallpaper might look better white or painted a color from the wallpaper imo.

Add casing molding around your entries in a matching styke as the door casing and paint same as the trim.

I'm totally confused, possibly nearly blind. Or the paper is SOOOO subtle, I can't see it. Truthfully? All I see are "Fifty Shades of Gray". : )

I see wall obsession, when there are many options to achieving cohesive and subtle differences in open spaces.

I see other things. .A chair rail so skimpy it is pointless. Either add a beefed up look to it via wainscoting, or consider removing it entirely.

I see no rugs! an excellent way to set off different but open spaces, without wall stress! Art!!! SAME concept.

I'm not being, helpful, not what was asked ?. I realize that. But amazing things can happen with a SINGLE paint color, and other treatments and decor considered. Jmho.

( also.... very lovely ( and new ) chandelier is hanging too high over dining table....and effect is getting a bit lost)

The cahir rail IMO does not work . I think trim added to walls is best either everywhere or no where . I agree the wallpaper is kind of non descript . I happen to love grays and really dislkike taupes so I am no help there . But now I would paint all the walls the taupe in the DR

Thank you all for your comments! This is a new house so not yet furnished at all, including chandelier. so far 3/4 walls in the DR have wall paper, what do i do with that 4th wall? do i match it to wall paper or kitchen/LR? the wall crosses over from the DR to the kitchen

The paper isn't high impact enough to stress over. Horrible truth? Take it down and pick one of the paint colors : )

At this point, I plan to keep the wallpaper, should i do white wainscotting beneath it or paint everything (including chair rail) the color on the left?

I for one can't answer. Because to me, the buggy is out in front of the horse. That's from 33 years of not painting a client into a corner : )

"This is a new house so not yet furnished at all, including chandelier."

That statement? That's why.

Paint is a secondary to furnishing, which includes, rugs, fabric colors, even art. Paper is behind paint. UNLESS it is so incredible, it's the jumping off point for all the rest: )

To me the paper is subtle to the point of disappearing.

But what is the dream space if you were finished? What's the feel? Will there be rugs? Will there be any color? I think very open spaces, particularly those with no really logical ending point for a color, should BE one color. A wall is one of four and those four? Part of a whole. The whole is the feel of the entire space.

Pick a paint color that harmonizes with the wallpaper, but that you are willing to continue into both LR and kitchen. You can't just draw a line on a continuous wall.