furniture arrangement for small space living room

My condo has an open layout with the dining room connecting the kitchen and living room. I'm shopping for living room furniture (everything will be new) and wanted to choose pieces carefully given its small space (12'6'' by 13'7'').

My dilemma:

1. Sectionals do save space but I'm not a big fan of the style.
2. If I were to have two sofas 90 degrees to the TV wall facing each other, I will have the openness but I might not find myself comfortable watching TV.
3. If I were to have one sofa against the left-hand wall and a love seat facing the TV, the living room might look smaller than otherwise.

I understand that giving the small space I can't have everything perfect, any advice?

I think the layout you currently have works, and is the best use of space, is there some reason you want to change the configuration? You may just want to upgrade the pieces you already have and leave that structure in place.

Thanks, drcollie. I wanted to change the current layout because I felt that the chair facing the TV blocked the flow (I do not particularly like the fact that when I walk into the living room first thing I see is the back of the chair). If I put a sofa in the place of the chair, at least I can put a sofa table behind it with some decor, so that the living room faces me when I walk into the room. Hope that makes sense.

The other option would be two sofas facing across from one another, identical style and cover, keep them as light and airy as possible. Based on your decor, a pair of these would be smashing in the room...

http://www.hancockandmoore.com/produ...productid=2410

No shills allowed! Wait till Duane sees this.