Any ideas on creating some shelving that won't take up a lot of room?

This does take a moderate amount of skill, but I wouldn't put it above anyone's skill level.  You can do it.

The idea is to add a space between the studs in your wall.  Now, a lot of different stuff runs through these spaces but we can work with that.  You will need to do as much investigating into the space you desire to have your space.  You want to make sure there is not HVAC, plumbing or major electrical running through the cavity. There is a good chance that wire of some sort will be traveling through this space but it is probably running along towards the bottom.  This leaves the space above for you to use. 

Once you have determined your desired location you will need to remove the sheetrock covering this space.  Studs are generally placed on 16" centers, so poke a hole in the wall, locate a stud, measure over 16" and mark where the other stud should be.  Use a sheetrock saw and utility knife to cut out the sheetrock covering your new found space.  Don't poke through the sheetrock on the other side or you'll be left with a repair job.

Once the sheetrock is removed you now have a rougly 4" deep space, roughly 14.5" wide that could be as tall as "floor to ceiling".   The best way to finish the space is to place new sheetrock on the sides of the exposed studs and put some sheetrock cornbead on the corners.  Once these are in place you will need to tape and mud your new sheetrock.

When this is complete you can paint your new area, and hang shelving, rods, pictures, etc. as you please.  Be sure to fasten anythign your are hanging to the studs on the left and right sides.  Remembering that the back of your new cubby is only a piece of sheetrock that won't support much weight.  Also, that piece of sheetrock is also the wall to another room, so you aren't able to poker all the way through.

I love creating spaces and using space that otherwise would go wasted.  Hopefully, you use the idea.  If not, you will someday.  Good luck.