You have very nice chairs! Take the rug out, remove the two end chairs, paint the table white like the color in the wallpaper, move one chair to desk, add a mirror on the wallpaper wall to break up the wall and add depth to the room (white or deep gray frame) and use you budget and add new pillows to the couch with more grays and whites.

Yes, I was planning on a free standing stove on the opposite wall and no top cabinets on the stove wall. Should I use mirror as splash back ? And black cabinets for the pantry wall and white on the others, White a white stone for bench top ?

Will the desk fit on the wall next to the shelf unit or are you are you restricted to the L shape for some reason? Could it work opposite the window & in the other corner better & the piano where white shelf is? If you can get all the measurements including for the new lounge & try taping the floor out to check that the configuration works. Otherwise as you say having the new lounge along that back wall means having the tv where piano is but could work, depending on the view from the dining room. Pictures on the bare walls & a rug will soften what seems harsh at the moment but as you are not sure yet it is hard to say... I have always moved things around many times until it felt right. I feel your pain & hope I have not confused things for you :/

Your home looks lovely. Ideas that come to mind for your 'dining' room include a sewing room, craft room, reading nook or children's playroom with a day bed but any of those ideas will only work if you have use for them. I know you have said you don't want another sitting room but my instinct would be a pair of wicker chairs, a jute mat, a small side table and some indoor greenery - essentially making a summer sitting room/reading room. With regards to your coffee table, perhaps include some texture. Either a mat under the bowl or fill the bowl with brush balls or something similar. Otherwise it appears to work well with your other furnishings and style.