We are finally having our gigantic basement finished and I'm so excited to create a cozy space downstairs for guests/family movie nights/etc. This is also presenting us with a challenge/opportunity in our main upstairs room.

I have always hated the sectional we have in this room (it's on the main floor). It's oversized and partially blocks the doors, but DH LOVES it (and it is comfortable). But I think we've agreed to move the sectional downstairs into the new family space and replace it in the main room with something. The challenge is that the room is strange, with a giant window on one side, two large entrances, and the TV. While we will do large family viewing now in the downstairs space, we still want to be able to watch TV in this room, too.

So the question is what should we do in the upstairs room to:
1. Still make it comfortable for TV watching for 2-3 people (because if all five are watching, we will probably go downstairs)
2. Make it good for hosting others (you know, if that ever happens again)
3. Not block doors or windows.
4. Keep it a good play space for little ones.

I'm thinking about a recliner and love seat, but feeling like that might feel empty? Plus, it doesn't do a lot for hosting another couple. Maybe a more "modern" looking sectional and matching recliner?

Thoughts? I'm absolutely terrible with things like this. Or a particularly good on-line interior design company?

Pictures included.