I believe the reason the tiles work well with the cabinetry is because the tile is lite in color and flat, its not rustic unlike most terracotta. The expensive cabinets work fine with the floors because of the smooth finish. The floor here is the focal point of this room. The Interior Designer or whoever did this room, did a very nice job, keeping it very simple.

Thanks :) Yeah decided to go with tile. So sand cement is ok over existing tiles if I prep them first? Only problem is, the new pad can only be about 30mm at it's thickest (leaving up to 15mm for tiles) otherwise it'll end up being higher than the hallway floor. So I either need to make the fall shallower or not bother with the waste and make it all level. If I made it level, could I use levelling compound at that thickness or would deck mud/sand cement be the best option? Also, should I be putting in mesh for strength? (I know I should (and will) ask the local hardware what they suggest, but it's great to have suggestions from the Houzz community also)

Get the professional sander guys in to repair the living areas and kitchen but don't go too dark with the stain as it will kill the lovely grain in the matai. I'm thinking a couple of tones richer than the timber knots showing in your photo, definitely no yellow tone at all. In NZ stepping on to carpet especially in a kiwi winter is so much nicer than a cold floor board shock!!! A nice area rug for the lounge and you're done.

I would continue with frosted glass like the door on all the windows because the view of the other house. Not sure where you live, but you can get a frosted window film that you install yourself. In bedrooms and lounge, depending on your style, you might like a woven roman shade with silk drapes.