A long basement with a low ceiling can be a strange space to decorate since you must compensate for two problems at once. However, once you start designing the room, the problem becomes much simple. In general, making the ceiling feel taller is all you really need to do, and the room will expand visually so it feels more like a normal size room instead of a hallway. Does this Spark an idea?
Put mirrors on the wall in certain areas or use appliances or furniture with a reflective metal surface. Mirrors and reflective surfaces will help open the room up and make it feel larger. Use floor to ceiling mirrors whenever possible in a basement with a low ceiling to make it feel taller as well.
Use overhead recessed lighting instead of track lighting or pendant lighting. Pendant and hanging lights in particular will make a basement with a low ceiling seem even lower by bringing the visual focus down from the ceiling. While track lighting is better than pendant lighting, recessed lighting that cannot be seen is the best overall choice.
Cover the walls with vertical-striped wallpaper instead of painting or using horizontal stripes. Though certain colors of paint, such as bright white and yellow, are better than others for rooms with a low ceiling, vertical stripes will make the ceilings feel taller than they really are by visually stretching the walls downward.
Hang full-length curtains instead of using blinds or shades that only cover the window. Full-length curtains will give the illusion of a longer space while giving the room a more elegant look if you use pleated curtains. If you are going for a more contemporary open look, use curtains without a pleat instead.
Put any decorative items that are hanging on the wall like tapestries or art pieces just below eye level. This will help draw the eye downward and make the ceilings feel higher than they are. Avoid hanging anything too low, however.