Before remodeling a room to turn it into a craft room, take the time to design a well thought out blueprint. How you move throughout the space while doing a craft and where you sit while doing it is important. Purchase graph paper to use for designing the basics of the room and consider each square on the paper to equal to one foot.
Measure the room and all of the larger pieces that will go into the room. Use the graph paper to cut out paper models of the objects that will go into the room. By using this method, you can change the arrangement without having to redraw the blueprint every time and you can mentally walk throughout the space. It is a little time consuming to do this method in the beginning but it will help to get the best result.
Organize the space that best fits how you work and what you work on. If you use materials, maybe arrange seasonal materials in one large tub. You know where the material is and it is out of the way when it is not in use. Remember to keep the things you use the most within reach and the lesser used items can go across the room and out of reach.
Utilize the space with stackable containers, shelves, and a small table cabinet with a large number of drawers so you can arrange similar items together. What is available for extra storage space? A file cabinet is great for holding patterns, invoices, and catalogs. The plastic storage bins equipped with wheels and drawers make it easy to organize things and roll within reach of the work area.
Make sure that the work area is large enough to work unrestricted. Nesting tables can enlarge needed work space, or keep an extra card table in the room for emergency use. Utilize the wall space by adding a piece of grid type wire or pegboard. Use S-hooks on either one to hang tools and items that are less used, but easy to find.
Remember to use things you already have on hand for storage. Suitcases, especially the smaller travel size case is great for storing fragile items. Milk crates are stackable and easy to move. Whatever the craft is use clear containers for finding items at a glance. Multi-drawers are nice, but label them if they are not clear. Use an old dresser to hold smaller tins of items and designate each drawer for a purpose. Expect to move things around until you find a system that works for you personally. Nothing is definite, so have fun, enjoy and create.