I was serious about how small our kitchen is. There are three overhead cabinets, and only one of those is full-size. There is ONE lower cabinet, and it has a shelf built in that prevents storing cutting boards in there. Cutting boards don't fit in any of our spaces, so they have to stay out. One lives balanced precariously behind the sink, the other permanently sits on some makeshift counterspace we added because builtin countertops only provide ~8sqft of working space.
We'll be moving out soon, but it's been quite an experience in minimalist kitchen living while still cooking like crazy.
You want small? For three seasons I worked as the only cook on a ship's galley for a crew of 8, serving 4 meals a day. I had one small cabinet for pots/pans/etc and one drawer for storing stuff. A 3 burner, 22" gimbaled stove and about 3 linear feet of countertop/prep space. Here was my basic setup:
Hardware:Three quality knifes - 8" chef's (or sontoku if you prefer), serrated bread knife and paring knife.
Nesting SS mixing bowls (CostCo has a great set for ~$30) - or glass/ceramic/melamine if you prefer.
12" cast-iron skillet (or 10" for smaller cooking - e.g. Lodge @ $25)
10" quality fry pan
Heavy-bottomed stock pot (height > diameter. no idea what brand, find at restaurant supply store)
strainer-insert for stock pot (doubles as collander)
sauce pan (I'd recommend a 2qt for you. Mine was a 4 qt)
9x13" pyrex baking dish
Sheet pan (sometimes called a "cookie sheet")
Tools: you don't need dozens cluttering up several draws. mine fit in a 6" wide pull out drawer.spring-loaded tongs (perhaps my favorite tool)
rubber spatula, regular spatula, wire whisk and wooden spoon
meat thermometer
bench knife (aka board scraper, dough cutter, etc)
Can opener, masher
Pryex 2 cup liquid measuring cup
set of dry measuring cups (1/4, 1/3, 1/2, and 1 cup)
set of dry measuring spoons
finally - stackable Prep bowls (3-4 small, 3-4 medium). Can find these at the $ store.
Working in a tiny kitchen, these will make the difference between chaos and control. Your "mise en place" I did all my prep (e.g. chopping, measuring, etc) first, then started cooking with all my prepped & measured ingredients laid out next to me.
As for cutting boards, I agree that there is always a place to store them if you just think. Hanging on the wall with one of those 3M removable hooks. The slot between the fridge and the cabinets, or the stove and cabinets often will hold a board too. Or if your cabinet has those holes for adjusting the shelves, put four pins on the top-most slot. Then get a cutting board barely smaller than the your cabinet (you can saw cutting boards to size, wood or plastic). Then your boards can 'rest' on the pegs above all your dishes, ready at a moment's notice.
As for ingredients, this depends entirely on your style of cooking. My pantry (actually the compartments under the floorboards) were stocked to the gills with grains (rice, lentels, beans) & pasta, canned goods (esp. tomatoes, corn, coconut milk and broth) as well as your basic containers of flour, sugar (refined and brown), baking powder etc. I buy all my spices online (check out World Spice Merchants), typically whole seed except things like paprika or turmeric.