We decided to put in heated floors with Travertine tiles.
P.S. Heated floors are a pain in the butt.
Scott insisted on putting the tiles in at a 45 degree angle, which seriously complicated things. But it was worth it - it looks awesome, and it makes the room look larger.
We installed recessed lighting to brighten up the room, since it has no windows, and painted the walls a steel blue color.
We put in a new vanity, new light fixture, and new toilet. The faucet we picked out for the vanity is amazingly awesome. We couldn't find a mirror that we liked, so we bought a frame instead and made a mirror out of it. For artwork, we took pictures of the blooms on our Bradford Pear, had them printed in black & white, and framed them as well.
(P.S. It's really hard to get good pictures of a room so tiny)
We were really pleased with the results! It took quite a bit of time, but it was well worth it (for our guests, at least). We haven't braved the Master Bathroom yet, but its on the Project List!
Linking this to Thrifty Decor Chic's Before & After party!