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.

after watching my daughter and her husband agonize over the way their expensive timber floor has not held up well after 3 years, I would recommend tiles/wood look tiles with under heating. Their beautiful warm expensive floor looks like it always needs a clean and polish, not from neglect, they have cared for it well. One of the boards now has a slight and painful moan when it's stepped on :-( I grew up in a completely wood floor home and although it looked wonderful, my Mother hated it. ....and the mats ! Wood is a lot harder to maintain than tiles ,(no matter what the die hards say) the modern wood finishes are much better than they used to be.... But a piece of wood is rather arty no matter what it's used for and it does demand to be loved and cared for.....and if something goes wrong it's a lot more expensive to fix than sand and cement. Ultimately you have to be happy. BTW underheating tiles is warmer than timber :-)

I'm finding it a little hard to see the detail. Can you enlarge the top 2 plans?

Sorry the main bathroom (beside the lounge area). I have the ensuite sorted. We'd like a bath in the main bathroom, shower, toilet and vanity. Ideally I don't want the toilet on the wall that separates the bathroom and lounge....bit uncomfortable for guests going loo when we are in the lounge watching TV!