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How did you incorporate your television in your living room decoration?

I want to paint and decorate my living room like you see in magizines but my husband has a plasma tv and an xbox that has to stay there. I was thinking of getting an armoire or entertainment center but they are so expensive. How can I incorporate the tv and things with the design of the living room? I want it to look like a sitting room rather than the room everyone hangs out in, you know, pretty I guess. One of those rooms you see in Southern Living Magizine or Better Homes and Gardens.

Details:

  1. I removed the drywall and installed a header across 4 studs on the top and a sill 26" below that. This allowed me to install my 42" plasma inside the wall. I built all the wires into the wall over to the stereo system. And put the drywall back. So all you see is the glass TV flush with the wall and the hole is 1/4" larger on all sides so you dont see the hole. Total cost was $30 plus another $40 for a faux paint job. I'm at work or I would add a pic.
  2. My husband got the gift of his dreams (a 50" plasma TV). It's mounted on the wall. I bought a console table that is just a little wider; it sits under the TV and all I have on it is one simple accessory. On either side are small chairs and a couple of tall plants. I really like the simplicity of the area.
  3. I ran into this problem in an old apartment. I wanted to have the TV in the living room but not make it a showcase. I ended up putting some curtains in front of the TV. I used a thick darker material and it makes it look a little like a movie theater and you can close them if you want to hide it completely.