I'd try to add some lounge chairs to the area and a cocktail ottoman with overtable.

Thanks! And do you suggest keeping the sectional, or a different style of couch?

I'd consider a sofa facing the fireplace, upholstered ottoman, and two club chairs, one on either side of the fireplace. You can get swivel chairs that can face any way you want. I think the room is too small for any sectional, and having three pieces gives you more flexibility than the rigidity of a sectional.

Alternately, you could do 4 club chairs around an ottoman. I've done that for a few clients, and they all love the arrangement.

Thanks Diana! That is very helpful feedback!

This one has 4 identical club chairs:

Refreshing a suburban home · More Info

This client already had the wooden armchairs, and we reupholstered them and purchased two more club chairs for the arrangement:

Suburban Living Room · More Info

It's a great layout for conversation, depending on how many will be seated. You could also bring in dining chairs or a bench for additional seating.