Here's my before and after:
Mine's a bit more in-depth because I obviously had to get rid of the entire background...so here goes:
First, you have to select the area you want to get rid of-
Then, I fix what I've selected in mask and blend the blanket with the background...
After that, exit mask and fill the selection with a color selected from the blanket.
Lastly, I added a bokeh overlay [because I saw a photo with lights in the background that I loved and just had to] :). Also, just do the general lighting and blemish adjustments and voilà!