Breaking up the great solid block of colour a little bit helps to hide it. Next is the choice of what to plant. I'm leaning towards: ficus pumila, climbing fig, which can be pruned to hug the fence tightly, Himalyan blue bamboo, (but might sprout on other side of fence as well, so should have a 60cm deep root guard or be planted in pots) or waterhousia floribunda, weeping lilypilly, which can be pruned to a narrow, non-climbable hedge but 30cm might be about as narrow as possible. I'm just a bit scared the bamboo will move into the neighbours yard too...You also have to be careful to not plant anything with massive roots that could eventually crack your pool, and it has to be tough enough to cope with a bit of chlorine... Then, put in a dip line so you don't have to water such a narrow spot. Good luck, and let us know what you decide.

I'm sure most people would envy you the pool and potential this area has. Not sure what your requirements are when it comes to "use" of the land. Have you thought of a cabana at the end of the big pool in front of the shed? It would hide the shed and at the same time give you a focal point that draws the eye to the beautiful length of the pool... and at the same time provide a visual full stop with the cabana. (If money is an issue....I recently purchased a beautiful outdoor gazebo and placed it on our outdoor wooden deck which was always too hot to sit on and the whole family now sits out there under the gazebo for most of our meals-I like to make flat land-useable land) The surrounding gardens (I agree with fianou) that large leafed, tropical plants would help soften the overall look (if that's what you want/like) . Other people like the harder lines and a starker more modern look. If that's the case then put in more structural plants. Just depends on your own personal taste. Not sure that the existing palm trees are a help or a hindrance as many drop seeds into the pool and from a visual point of view can look like telegraph poles if not under-planted with other medium sized shrubs that balance the overall design. If there are surrounding areas that you want to use as pathways...Astro Turf is a great alternative to traditional hard surface choices.Good luck with your plans!

Do you have any other access to the backyard? Lane at the rear etc? If not... I like your plans but I wonder if you will miss the access down the driveway. Possibly a problem should you sell later on, or should you need to bring large amounts of materials etc into the rear yard. I'd think about using the front of the house for all the bedrooms. Possibly the sun starved middle room for the master suite. Extending it though to the room you have marked as pantry. I can't see the dimensions, so I hope it's big enough. And use all the rear space, minus the bump out, as living. You could maybe pull the kitchen into the centre, looking out to the yard, pantry + laundry behind it against the for mentioned bedroom. Splitting the living area up a little. And giving you much more living space.

Although we have very deep eaves and lovely large decks, we don't actually have proper shade at our new house so that we can enjoy the outdoor living. Trying to resolve this. Thinking about a big shade sail further away from house where we have a big table and chairs, and perhaps decorative metal panels attached to either the roof or wall cladding on the west deck. The sun is harshest during afternoons to sunset and so far we cannot use this deck for '5 o'clock somewhere' drinks.