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Bedroom with loft. What a great use of space for a room with a vaulted ceiling. A walk in closet could be under that loft and you haven't lost any space.
Attic theatre room (sound-proofing walls??) theatre room? I could live in this space!
ATTIC. Built-in bed. AJ wants a trundle underneath if there's room. Bookcases or flanking end tables allow space for the necessities. Make sure bookcases or the nook has electrical outlets to recharge cell phones, tuck in a laptop, etc Put a table and chairs around this area for game time since it'll be chair height.