You have some good ideas but if you're going to sell soon and aren't planning on taking the soffit out, I would just do some minor changes and keep the cabinets (just add a couple cabinets). I wouldn't move the sink but just get a nice stainless steel sink and update faucet. I'd get a stainless stove vent. Remove the wall on the left of the refrigerator but then just do a small pull out pantry on the right of the refrigerator. And, put a cabinet above the refrigerator and make it look built in. A glass backsplash, can lights on the ceiling and pendants above the penninsula. I think a raised counter will make the kitchen/room feel smaller.

Yes, measurements would help. Thank you aldrea1 for other explanation, though. That helps too. It sounds like you are going into a total gut-job! I love this! Great opportunity for your creativity. Also, it looks like you have a petite sized stove. With total remodel you can upgrade to a standard size range. Is this part of your plan? Are you going to replace any appliances? It would be good for you to keep sink and stove in original locations. It is complicated to move the stove's exhaust fan and the sink's plumbing. Not impossible, but probably $$$$$$$ and a lot of hassle…. So, I would start planning with those items--stove and sink on current walls. Wherever you put your refrigerator, it would be best to be sure side view is hidden. If refrigerator stays in current position, you could make peninsula a little smaller, so wall on the right of kitchen entrance could extend further and hide refrigerator edge----Or, move refrigerator to another location… Not too far from sink and counters, though. That would cause you inconvenience. You want a work triangle with not that many steps in-between. Do you currently have a dishwasher? Or are you planning to add one? Not much creativity in placement of a dishwasher---needs to be near water source and drain.. Are you doing the work yourselves or hiring a contractor?

Any pictures of kitchen, design?

The market is full of tropical/botanical art at the moment which lend themselves well to tropical or beachy looks. The look you are after calls for natural textures with a soft colour palette, think linen bedding and layer it up with throws and cushions for texture and pops of colour. In my opinion drapes are not a good option in your room as the ceiling slopes to just above your window at a certain point. This would dictate the height at which your drapes hang and, in this instance would be too low. To soften the windows, I would have a tall palm or Fiddle Leaf Fig tree in wicker basket. It also looks like you have the space for a chair.