I need a makeover!

The lovely and talented Nicole from Making it Lovely is offering to do a Social Space Makeover. If any room in our house needs help, it is our family room!
From the kitchen:

A slightly different angle:

The bones of the room aren't bad--it gets great light and is a good size. But it is extremely boring, and all of my plans for the space have been put on hold because of our STILL unsold condo (grrr....). Help me, Nicole!