Hi Rich! Welcome to GardenWeb. Whether you eat on it or not, it's good to have a table somewhere in the living area of your house. I've managed to find room for a table in a studio apartment, so you may not need to go to the expense of a convertible hutch. You could have the sofa and love seat face one another (instead of the usual L-shape) and float them in the center of the room. Then put a small rectangular dining table directly behind the back of the sofa. Photos of the room would help a lot. Open a photobucket.com account and post your photos there, then provide the link on this thread.

Yes, such a common problem. Imo, your space is so limited you should consider solving your problem outside the box. Outside the house box by putting the area where you first greet guests and make them feel they've arrived outside that thin, 3" thick front door instead of inside. To do this, of course, an outside "foyer" has to be created. Most homes front to public street, and their front yards are also completely open to the street, to windows across the street, etc., so that the thin front wall and door are very often the first and only transition from public to private space. Very undesirable, and no good architect-designed homes fail to make a much more emotionally satisfying transition from public to private. That's why people want an indoor foyer. It's a transition between truly public to truly private that makes finally arriving in the sheltered living area feel right. You can't have one, but you could damage the appearance and functionality of what could be a very inviting room by devoting a space that tries and fails transition guests... From it to itself. That's why I suggest creating a separation from the street and public yard outside. Presuming you don't already have one that can be further developed, of course. Think of, for instance, a gracious, paved outdoor landing or porch that guests arrive at by passing through a gate and/or under a tree or arbor to reach. Imagine a delicate tree perhaps, like a birch, that creates a gentle see-through privacy screen between this area and the street to increase the feeling of separation from public . It might be surrounded by low shrubs or a fence to define it an give a sense of separation. Planted pots or sculpture, a bench or pair of chairs. You now have a transitional middle space from public to private, a transition(foyer/entry area) that doesn't feel at all public from which guests can then move to a very inviting sheltered inner living space. If you google, you'lll find many landscapes that do this. They're very common in neighborhoods of what were once small homes that have become very expensive. People who pay $750k or $1,750K for an 1100 square foot home often bring in designers to fix their foyer problem, and this is a common technique. It's all about meeting emotional needs, and of course looking great, without cannibalizing those living rooms that need all their space for living in them.

The two rugs will have to both be replaced if you are changing color and style. They have to work together. I would want to add color to this space. Other than the plants you really are drowning in a sea of neutral. You can't go too wild with the subdued colors in the furniture, but you could liven things up a lot with a couple of carpets, some brighter pillows, artwork and a few things on the shelves.

Do you have plans for the niches next to the fireplace? Maybe builtin storage cabinets and TV on a pull-out swivel on the right. The L side you could leave blank or have shelves above the lower cabinet. It will add some architectural interest and allow for storage. Then a seating area in front of fireplace - sofa and 1-2 chairs. A small desk area in the space between sofa area and dining. Though I’d probably have a computer station that closes off (do you need for desk top or just lap tops?)