I would go with the second space in the nice room. Sitting in a basement with inadequate lighting would not appeal to me. I have an awesome quilt studio upstairs and spent many hours there but I also set up a tiny sewing station in my family room. I have a 201 Singer in a nice cabinet with drawers and just enough of one project so I can work on it but also put it away. I also have my travel iron and a TV tray ironning board down there.