Solve the problem of storing the dog crate. Dog crate under kitchen counter/island. ***Yes, because I really want dog hair in all my food! I think a better idea would be to put the built-in crate in a laundry or mud room.
Place a drapery rod really close to the ceiling—roughly 2 inches below the crown molding will do the trick. While you're at it, be sure to extend the rod at least 4 inches on either side of the window so that the window appears wider.