Paul McAlary discusses a kitchen design with Jay, emphasizing the benefits of removing the island to gain more cabinetry and countertop space. The new design includes recessing the refrigerator into a corner, adding 12-inch deep pantry cabinets, and floating shelves. The counter depth refrigerator is recommended to avoid space issues. The total cost is estimated at $10,500, a 25-30% increase from the previous design. Paul advises against a corner sink and suggests a free-standing range instead of wall ovens to save costs. The design also includes a Lazy Susan, a 24-inch sink cabinet, and options for a microwave drawer or speed oven.