That's a great set-up. I also wanted to integrate cabs with consoles as well since like many KLOVers, I grew up with home systems and arcades.
It sounds like you also had your start with consoles; that was really my focus for the last 20+ years, going through high school and college -- hit the garage sales, thrift stores, and pawn shops.
The room for my gaming oasis is not very big -- a little over 8 feet by 12 feet -- and it includes a wide swath of gaming formats. My original vision was to create a representative collection of the gaming consoles, which focused primarily on 8-bit, and have it set up for play in a room. Even though we purchased our first home in 2004, storage issues prevented use of a basement room for fun. This changed with some furnace work about two years ago, and the room became available. I started off slowly, with a single table, monitor, and the Coleco ADAM, plus a few cartridges. Then last autumn I bought my first arcade game, and my collection was finally liberated from storage.
There's a lot to squeeze in there, but I wanted to assemble a collection that touched upon all the classic gaming senses -- original handhelds, 8-bit consoles, games, and peripherals, and examples of each kind of arcade cab I encountered growing up (cocktail, full upright, cabaret). Although it's a bit dark, you'll see along the right side the Astro Blaster and some shelves housing cartridges; above them I set out original Coleco handheld arcade games; on the other side you'll see the remainder of the cabs and in the corner, my shelves housing the 8-bit collection. It's not as seamless as I imagined, but it's workable.
I set out all the consoles on two book shelves that I had for years. Behind each console is their AC adapter. Basically, when I want to play a specific console, I swap out consoles so the "play unit" is to the left of the Commodore 1702 monitor; where possible, I simply use the RF cable that always remains attached to the VCR (which then routes to the monitor). A selection of games for each console are housed in the grey shelves along the right wall. The green bench is an old "mini tower" bookshelf set on its side; I attached some cushions where it counts, and wrapped/stapled it in an old green crib sheet. It's a bit of a tight fit in the corner, so I'm going to try and gain a few inches here and there by carefully pulling the cabs to the left, and getting them close enough that a piece of paper won't fit between them. But all in all, it's a tolerable seating solution for the family.