Even though that is a fairly small space you could put some decorative trellises just in front of the fence with some ever flowering vines on them. Install a paver patio between them and the windows you hope to transform into doors.. You could also have the wisteria trained onto a pergola that would create a little shade for the patio as well. Some beautiful potted specimens/flowers and a couple of attractive outdoor chairs and you would have created a beautiful "picture" to act as a focus to the room. Additionally you have extra space for entertaining. Obviously the reason the previous owner obscured the window was because there wasn't much to look at. By creating a "view," you change the dynamic of the room as well as getting the light you want. Actual light will brighten the room like no change of floor would.

what can you see looking back at the house from the courtyard and the undercover area? what rooms overlook these areas? will the entertaining area be used by crowds or smaller groups? do you need to walk through these areas to the pool? what size pizza oven and barbq are you planning? what do you use the undercover area for now? what is the size of the undercover area? have you consider an outdoor kitchen in the undercover area with small table for everyday and a big dining table with market umbrella in the paved area and the fireplace with seating area at the far end of the courtyard

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Appreciate the thoughts and this may be a solid option elsewhere in the country but in my circumstances I don't plan to be moving from this property any time before the kids are 18. It is located in Sydney's inner west, and in a specific high school catchment I plan to take advantage of when the kids are older. Stamp duty to buy the property was close to $100k and if moving out even in ten years to a larger property; that averages $10k a year spent on stamp duty. I know 115m2 internal is tight, as is the fixed layout due to existing bedroom walls, ceiling heights, wet areas, and the like - but there has to be a way to make this work... I have read that 4 bedroom apartments should be 102m2 or bigger. I am willing to make compromises where possible but I really want to create that extra separate room "Multi-purpose room" which can double as a study/work area/kids play area/media room/ad-hoc sleeping accommodation". Paul Di Stefano: I don't think these changes essentially equate to 'rearranging a sock drawer' - this is my PPOR so I am not too concerned what other buyers want or resale value if I plan to hold the property for 10-20 years +... (any trends we design for now may well be outdated by then anyway). Many buyers highly value indoor-outdoor integration. By moving the kitchen to centre, it opens up the rear and creates indoor living->outdoor living link. If I get IKEA flatpack kitchen and DIY as much as possible - have a friend reroute the water/drainage/+his licenced electrical friend...hopefully this work would cost sub-$20k. Adding the sliding door to rear is $2.5k. Ensuite, bathroom and laundry I believe I can fitout for $10-15k all up- let's say 15k (again, tiling, raise flooring, showers/fixtures/flat pack laudnry cabinetry install all done in-house without tradies). The only thing I really need professionals for is to move the gas line in kitchen, BIR installs, stone benchtop, and maybe a few adhoc wall demo/construction/doorway moving - lets call that 10k. All up ballpark that is 47.5k? Sirius- If I go with your style plan then I lose the potential 4th bed space and have no where for relatives to stay, babysitter, nanny; etc :( Maybe it is a possibility that the main living space be used for lounge room and kitchen, we can always put dining table in the Multi-purpose room, then when that room is needed for sleeping accommodation, the dining table be moved to the side and kids can eat dinner on island bench bar; lounge or outside table... ? those doors to each side of the fireplace as you suggest - this space is very cramped outside (2.45m width) and potentially would be used to store trailer or garden shed, there is an old terrace built on zero-boundary there and they have a DA to go 2 storeys; which will shadow the whole area. This is why I planned to make the rear south corner a raised deck and try to channel house activity leading out the existing glass french door to that deck, or the rear sliding door. See photo-(my house is on the left, terrace zero boundary on right, and front on is a wooden dividing fence which on the opposite side is the driveway/1 car park and front street.