I feel pretty strongly about playrooms being just that...rooms for play. That said, I still love good design! If you do it right, I think you can have both.
•ALL furniture needs to be cleanable and durable.
•Upholstery should have polyester and acrylic in the fabric content.
Create areas for toy storage but don't be afraid to use the toys as decor. Let fun pillows and artwork do the talking.
Here's what we started with:
Here's the after: