This is a really awkward space! What about trying to build a unit into the corner which seems to be dead space. This could house the television and other bits like dvr,amp etc. The unit could then extend out towards the door in length and in height either up to the start of the window or up to the start of the blinds. I would suggest drawers for toy storage and books above. In this way you leave the windows clear for light plus it looks like you have a pull down screen so the tv would be out of the way of that. This arrangement would also hide all those wires and cables! Ikea have some good examples of storage which you could adapt or copy, such as Besta which illustrates the extended toy storage. http://www.ikea.com/gb/en/catalog/products/S39927155/

White skirting and cornice might lighten the effect.

We have an alcove for the tv in the family room. How can I incorporate this unit? The floor is dark oak and the walls are white.

I suspect I've driven every South Island road over the years haha -- once I worked out to look for the Port Hills I worked out the one way street system in Chch haha , then half it fell over and they put cones everywhere . I've been out to Oxford and Hororata and Twizel and Otematata more times than I could count , same with Gore and Haast and Reefton . One of our Motorsport customers lives on the edge of Keri Keri -- he has 4 or 5 race cars and maybe 30 classic cars , so often its me that drives up and collects or swaps a car with him -- he spends $200k a year on motorsport , a fair amount of that with us , so I do Whangarei and Kerikeri several times a year too .