Drethis, while gentlepuppies' idea seems good, you could run into traffic/flow problems all over the space. 1. Dining table/chairs is blocking the door to the balcony. 2. Furnace is blocking dining area. 3. There is a standard space in between kitchen cabinets and/or island . Give it at least...

How much work are you willing to get done, Drethis? Can you take down walls and create a smaller study and at the same time a small guest room? I like gentlepuppies idea, except, the study could be moved on the opposite wall, as the proposed one is in between dining and kitchen - could be...