Next to the back door is the water heater and we hide that behind custom drapes and also sneak in the ironing board and broom/mop. It's not ideal, but we're working with what we have until we can do a complete remodel on the back of the home.
I was stumped on the paint scheme for a long time, until I found "My Sweet Savannah" on HGTV's Rate My Space. She took a narrow hallway and added visual texture to the space by adding horizontal stripes (See HERE). I took her cue, and did the same with our laundry room.
You can see the laundry room from the kitchen (which is all restored solid fir wood) and I like the juxtaposition of horizontal painted stripes in the laundry room and the vertical beaded board of the fir wood.