How to decorate and liven this long, 2 part hallway?

Edwardian flat - ground floor.
We've just had the 'corridor' (because it was a walkthrough, dark and a dumping ground) old dining room built into a 2nd bedroom/office so it's more useful and I angled the entrance door so that it created a larger middle hallway and keys light in from the window in there.
( Currently the tall freezer is in this hall section but we will replace it with an area for coats and a little bench).
We have high ceilings! Around 2.8/2.9 I think in this part but 3m in the first section from the entrance. With slopes from the stairs etc.
The new part is around 1m wide going to the kitchen (glass door) but the main entrance hall with the grey wall and radiator is much narrower.
1) what's the best way to decorate this in terms of colours/ wallpaper? Panelling? Picture rail?? (Latter to break it up)
2) how can we get some much needed storage or could we lower some of the ceiling with a hatch in to create some sort of concealed storage on each side or maybe just above the kitchen door? Would this look odd if it's a box shape?
Any thoughts / suggestions greatly appreciated!

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United Kingdom
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