Looks like you have several things to consider in the layout. What the view out the window ? Do you really want to see more of whats outside? Cooking is always best on the outside wall to get it vented, island cooking is a last resort, downdraft dont work well at all and the island hood is typically obstructive. Looks like the wall should come out to open the space up. Best advice is to have a designer come to your home and see it in person. There are costs associated with every change and it is very difficult to judge just from photos.The design phase is the most important part of any kitchen remodel the builder is only going to install it as the plans layout. Find a great designer that makes house calls :)

I would suggest you take out the cabinet that is to the right of the stove and use it elsewhere in the house -- perhaps in the bathroom or dining room with a hutch above it. Then, I would suggest you have someone install a lazy susan cabinet in the corner between the sink counter and the stove, meaning you would move the stove down a bit and have a small cabinet/counter top to the right of the stove. I would suggest you have the cabinets refinished in white and then paint the walls a pastel you like. If you would prefer white walls, then add white-painted crown molding and paint the ceiling a light neutral blue, such as Sherwin Williams Niagara Falls Blue. Then, I would suggest you choose a favorite accent color and use this sparingly in accessories like towels, pot holders, small vases or floral arrangements, and a valence above the triple windows. For a genuine 1940s look, you might have white ceramic square tiles with a rectangular red border installed as a back splash behind and above the stove. If you are replacing counter tops, I would suggest a light color such as white with a beige or light grey vein or striation for some sort of pattern. You might be able to find the same color and design in floor tile OR opt for a wood floor as another poster suggested.

My downdraft is great with outside motor so not too noisy. Having said that I would also have been happy with a ceiling extractor if I had the space above for the venting.

This made me laugh: http://www.theguardian.com/environment/2016/jun/09/seagull-turns-orange-after-falling-into-vat-of-chicken-tikka-masala I couldn't copy the picture, but it's hilarious.