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Here is a good wide view of my work area near the lathe. You can see the insulation on the garage door. That is just the foam with foil insulation boards you can buy at any home improvement center. Just cut the boards to fit in between the sections of the garage door, and then use a can of that expanding foam. This works great, thanks to my brother for this idea, and you would not believe how much warmer near the door it is during the winter. 

Note the hanging gray nail/screw bins on the wall to my left. I just mounted a couple of horizontal 1x2 pine scraps, and attached the bin case to those strips, and just made it nice and low. In front, on the wall you can see the pegboard for tools. This would be individual for each person, but I have all my tools so I can reach them pretty easily. 

In the foreground, you can see the grinder, for sharpening the turning tools. This needs to be very close by, and easy to get to.

The yellow and blue cords near the pegboard in front of me are there for a reason. They are not pretty that way, but the plugs are in my reach there, and I can control an extra halogen light and I do not have to have someone else do it. Of course, there should be a switch mounted on the bench, but who has time??