Right now, my shop is part of my living room ... my bandsaw is set up in my kitchen, drill press and sander on an old repurposed dresser, still have a vacuum cleaner set up for dust collection, and the lathe is exactly 3 feet behind where I'm sitting right now ....
The miter saw is another 3 feet beyond the lathe (on the same dresser), and the table saw is STILL IN IT'S BOX because I have no place I could possibly put it ... I've never even unpacked it, the original tape is still sealing the box!
Currently planning on a 14' x 14' shed in the back yard (up on concrete piers, as permanent construction won't be allowed by code). A nice wood floor and board and batten construction walls are in the plans, along with a double wide door, so that I can get larger projects in and out.
Also planning on cedar shingles for the roof, though I may just decide to use tarpaper shingles ... depends on what I can get my paws on when the time comes round... power will be run from the house's grid box.
Still ... I have about as much room to move around in my living room and kitchen as you do in your shop.
Also, I've had this vertigo issue all my life. Apparently, there's no cure for my affliction. I first noticed it while trying to play certain games back in high school ... specifically games like Duke Nukem 3D, Wolfenstien 3D, Starsiege: Tribes, or any other first person vantage game. I can play any game that is played from a 3rd person vantage point, like the Diablo series or Guildwars, so long as I keep the vantage point zoomed all the way out.
If I try to even watch someone else play those games, I get a severe migraine and end up throwing up soon after, for just 5 - 10 minutes of watching. The sad part is, I love all those games and I'm good at all of them, just can't play the ones that are first person view!
The other thing that really gets to me is the "Gonzo" style of filming, where the camera view is not stabilized and is constantly moving around, bouncing up and down and shaking. I realize that you were NOT shooting a porno, but that's what the "Gonzo" style is known best for ... 95% of REAL movie producers will fire a cameraman on the spot for sloppy camera movement that bounces all over the place, lol ... but unfortunately, that's exactly the kind of amateur work that was called for in "The Blair Witch Project" movie series.
Don't let it get you down ... you're not a professional videographer, you're a carpenter!