I believe this is Merlin's cottage. The sense of place and reality is really perfect, with a feeling of believable magic (arcane science). The architectural elements are brilliant. This is where I'd want to live as an ancient wizard. My mind's eye is agoggle as I imagine the interior of the cottage and what wonders might reside there.
One of my favoritist images ever, tucked away in my morgue, with no information on the artist. I know I should know who it is, but I can't place it. Can anyone help me with that?
Okay, here's the update: This lovely painting is by Charles Frizzell, who has a website that shows this piece and more. Thanks to Marc for the info and thanks to Charles for the idyllic daydreams.