I would suggest playing around with your zones, move them without hesitation then sit in each space and rule them out or in as you go. Fresh eyes and all that. I would move your dining to your current lounge, the lounge int that alcove where your study is, you window is higher in here and will accommodate that smart fabric sofa with the tv cabinet on the opposite wall, the armchair will fill the corner really well with a smart floor lamp to accentuate the window and views by night, it will easily become a cool place to retreat. Lounges are also nicer when they have some sense of detachment from the busy work zones ie kitchens and hallways. Your study can be modernized and positioned where your current dining table is, because it's small, and would be an afterthought as you walk right past it from the corridor entering this space. Think stunning bookshelves. Some retro looks have floor to ceiling open backed shelves that could create a hall divider when coming in, so the kitchen is a little more separated, but also, the wall could have some smart practical joinery built here. I would put a desk along the short wall with a designer chair, maybe an upholstered one, a featherston or eames. This creative space could really sharpen the overall look in here, there are some amazing looking workspaces to be inspired by, and the new lounge would feel a real getaway tucked into your corner. You simply go there to relax and Wong have people walking through or past you anymore. The dining room will be where it naturally floes towards, although I love your furniture, id consider some eames or tolix replica chairs with this table as well.

Beige/ivory and porcelain/light blue tones work well with light grey as they are neutral. Lighter, neutral tones can create an impression of a larger space. Since you have a small space, you would want to make the space appear bigger than it actually is, and not smaller. You can use accent pieces with standout or brighter colours like cushions, lamp shades/bases to liven up the space against these neutral backdrops. Pottery Barn has some really nice neutral light blue/ivory rugs, you might want to check that out, for example: http://www.potterybarn.com.au/hayden-zig-zag-rug-porcelain-blue http://www.potterybarn.com.au/desa-rug-blue All the best.

We built our house in 1975 and had a similar problem; A teeny tiny family room with too many doors. After several years of squeezing ourselves into this poorly functioning excuse of a "family" room, which has entrances in every corner bar one, plus an entry into the kitchen and sliding door to outside, in a fit of frustration, I decided that our under-utilised formal lounge/dining would be used as a living room with the TV, although we chose to keep the dining table in that room as it is a long narrow room. I made this change 26 years ago. The family room is now just a sitting area with one 2.5 seater couch and a side table at each end, no TV and is a great space for a few people to congregate in to keep the cook company or just to read. However it would have worked equally well with the dining table there. In any case, because of all the doorways, it is really just a walk-through area, but now feels spacious and "settled" instead of crowded and messy. I can recommend the change.....you will feel much less at "sixes and sevens" with your home.

You've got some great suggestions there, so I won't really add anything different, but I'm wondering how you use the living area, do you need both a lounge and a living room or would you benefit from another room like a guest room or office, or a reading/library room? A studio? Do you like having a lounge area and separate tv area, or would that all be the same area? My family all likes being together but doing their own thing so for us a large family room that includes reading, tv, arts/crafts, toys, boardgames and spaces to do all those things is what we need. But I know other families like having separate rooms for different activities, just sort of depends how you live. As for the reluctant renovation partner, sometimes its just a case of not being able to see what you are thinking... or even seeing why a change would help. One thing I like to do is just just rearrange the rooms and set up the areas as they'll be used. For the time being ignore the wall positions. Go right ahead and swap the tv and dining furniture and see how it feels, you'll soon see if some areas are cramped and the walls need to be pushed out or where the door should be. sometimes its easier for people to solve problems than imagine design changes that avoid problems.