Also a huge bonus, if the children wake before you they are contained in your room so you know what they are up to when small. We have a sheepskin rug on floor with cushions to lean on and basket of books and small play animals etc ( quiet things), when they woke they knew they could turn night light on next to cushion area and play/ read until everyone else is up. On weekends they wake around 8am and play together here now until 10am or so happily, whilst dh and I sleep/ read in bed/ catch up on work in bed.
Regarding stuff it's easy to get rid of if ruthless tbh. Apart from seasonal things like ski clothing and picnic rugs, we threw out or donated anything we hadn't used in 6 months. If we hadn't used it or worn it I figured it was better use to someone else. Start with clothing. Keep max 10 of each item, ideally less, so 10 tshirts, but prob 5 trousers plenty. Even down to socks and stuff, many people have hundreds of odd socks and stuff they don't wear. I kept a selection of socks for various climates and donated still a bag to a charity going to Syria refugee camps.
With baby stuff do the same. Max 10 of each item in that size. So if you have 14 babygrows in newborn bought or given, try and return or swap 4 for the next size, or something else like a cardigan.
With toys try and buy or ask for things that last years but store small. So no pre built castles/ dolls houses but wooden blocks or duplo Lego which can be stored in basket or cupboard or drawer and they use imagination more anyway building each thing rather than the finished result just there. Babies can use block for holding, then stacking, all the way up to children getting more imaginative as they grow.
Also I always bought stuff that blended in with home decor such and blankets, rugs, cushions as otherwise it easily turns horn into looking like a nursery quickly in small space