Would it make sense to put it along the left wall (where there is a small dresser currently) or should i use a sofa to divide the space into two "rooms" by putting it across the middle of the space? Any suggestions on sofas that would work in this room and/or how do arrange the furniture would be much appreciated! --Liz
Liz, Welcome to Chicago and congrats on the new place. You have really nice colors going on - the rug, bedding and warm wood tones are working well together.
Here is one idea for a room plan:
It seems that you have room to swing your bed around and place it horizontally against the back wall of the room, thus enlarging what would be the seating/living area and allowing you to "float" a room divider across the space with a bit more room to spare and better flow. Then you could concentrate set up a seating area as it's own "room" without being concerned about the sofa having to do double duty as the divider.
As for sofa suggestions, we're going to let the readers take it away...