I have my sewing studio in the basement and love it. I don't have to have it spotless all the time, and I have room to stretch out. Lighting is fixed with track lighting or whatever. My spot is toasty in the winter, the wood stove is right behind my machine. I do keep a dehumidifier going in the summer and a humidifier going all winter. I am just planning on painting the paneling that is down there. It isn't dark, I'm just tired of it.
I say, go for it. For more space, you can work through the rest as you come across it.