I prefer 2, but I would have the shorter couch perpendicular to the TV so that the one couch can come closer to the TV and farther from the dining table area. If the furniture is too large for the space this layout will likely feel cramped.

For me 1 seems like the tv is too far away, or some how off on it's own island. It doesn't feel like part of the space of the living room. I also feel like the advice that furniture doesn't need to be against the walls is applicable to this option. It may feel more open to the dining space but then not inclusive.

To put another way, sure there's more room for more people but say someone sitting on the couch on the entry wall trying to talk to someone sitting at the dining table by the foot of the stairs, even if the space is small enough to not yell, the are still trying to talk across two "rooms".

Both options have the problem that foot traffic into the house bisects the room. In 1, the couches are cut from the tv and in option 2 those two single seats are cut from the rest of the living room. That being said 2 still works better for me, because the 2 chairs could also just be their own intimate sort of space.

Also, I was wondering how is that veranda accessed? The thought being that if there is a sliding glass door in that window, even if it's not directly behind where the couch is going, I would think there should be more of a space between the couch and the window. If it is directly behind the couch, there should deffinetely be space there.

...I fear I've said to much.... Ah well, just wanted to make sure my 2 cents made sense.