I have solved this problem by creating more than one seating area in the space which Depends on the size of your living area. I set up a couch - with a good looking back facing the window with the view. I included two adjacent chairs and a small coffee table. The other set of couches and a feature chair are also facing the view but more focused on viewing tv. It is important that you choose furniture on legs otherwise the solidity of the furniture can break up the room too much. Looking at your plan could you hang a tv on a wall on the side of your stairs. One thing I have found with an awesome view - TV becomes less important - 40 inch is big enough - TV size has got a bit out of control! Some other comments - think about placing your wardrobes next to each other to create a sound barrier between the bedrooms. If you do this make sure you put sound proofing between the bathrooms. I note your plumbing location is fragmented which adds to your expense. Will your garage obstruct your view? Think about having a sliding door access from the bedroom to the back deck hope this helps

Hi Zoe, what a lovely space, great neutral floor and curtains, your lounge and dining set perfect, I think you do know what you like just look at the photos you have posted, the only thing missing in your space are the personal bits and pieces. Take all of the above photos with you to Kmart and use them as a reference to purchase, good thing is you can change them if you feel it doesn't work. Your room really needs lights/ lamps, are you able to fit a hanging lamp above the table, what type of ceiling lights does the apartment have The other big thing is the entertainment wall needs bulking up, you need something taller and wider this can be made up with a couple TV height(Taller) cabinets on either side of the current TV, the speaker system needs a home and arranging, Kmart is bound to have something, or check out Salvo's etc they often have those old Pine timber entertainment units that old TV's sat into. With a light sand, white wash and a sealing coat they come up a treat Love your rug but it's a bit small, in the meantime I think I would line up against the lounge so it's not lost. Good advice Nelson Interiors, love Kmart and Bunnings to help with stretching the budget, Zoe don't over look Buniings for furnishing your room, work benches etc also make great TV stands and side boards, they also have a large lighting section cheers

Measure all your furniture and make actual size templates with pieces of paper. Then move the templates around the rooms and see what works best. This is a lot easier that lifting and moving furniture. If you want the dining in the lounge because that works for you then do that. Don’t be dictated to what a room is used for because that is the name of it on a plan.

I completely agree with Dreamer; it seems the way to have a better view of the tv and a better conversation area is to move the lounge to face the tv and bring the armchair into the furniture grouping. It would also get rid of the current effect that the entire room is one big corridor between the balcony and the kitchen. Have you tried going back to King and seeing if they have a back rest of arm rest that could be added to the chaise? A lot of King furniture is modular and very flexible