Thanks for the reply, good thoughts there

.
Actually since then I did try to move everything to the option 1 scenario even before reading your post. I also used two tower speakers - not the ones I want to buy, just two simple towers I loaned from a family member to try things out.
The audio sounds great, and generally the layout seems ok, but I do get into other issues where the TV screen is getting a ton of reflections now from the kitchen (about 4-5 lamps shine right on the screen) which is really annoying, I have to turn all the lights down to watch some decent quality picture. Secondly, I have real issues placing the surround speakers in this scenario. The :other half" hates wiring along the walls

. Besides, I won't be able to have the surrounds symmetrically due to the different sized walls and distance from listeners. They'll also won't really be in the back, but to the sides.
Option two is an option i'll go with if I must, although the couch is really more aesthetic in its current location since it matches the wall perfectly.
I am thinking about the possibility of just moving the chest a little to the left, making it stick out to the dining area. probably not the nicest thing in the world... I will then have a situation where the right speaker is a little far from the back and right wall (as much as I can), while the second speaker will have completely open air in the back and the left. TV will be on the wall in this scenario.
Is that a bad thing since the two will not have similar acoustic characteristics? I do have the Onkyo 818 with Audessey XT32 room correction, but I prefer listening to vinyl in direct/pure audio mode where I think the room correction does not kick in.
Thanks for your help!