That above picture was faux painted, which is what I like. It gives some depth and texture. Do a Google image search for "faux painting" (pronounced "foe painting") and you'll see some examples.
This is also a nice intro that Behr paint has:
http://www.behr.com/behrx/expert/faux_index.jsp
Click on the style you like and it brings you to a description for how to do it.
I've also painted wallpaper-like paint using fauxing techniques. You can use just about anything to get a texture you want... car washing brushes, selephane (not sure how to spell that?), rollers, different sponges.
Doing some crown molding in there also could look great. I would put in crown molding and faux it to look wood-like, and then do the walls in a deep green using dragging (see that Behr website to see what that means). That would be a great combination in there, I think.
Have you thought of changing out the carpet or maybe doing some area rugs?