I don't see why you couldn't put a hole under the cabinet so you could have your Mazzer pushed further back on your counter. would make that cabinet useful again, make the space look a bit less overlapping, and it would be easy to pour in when open. If you ever did want to reconvert to cover it. ...
You shouldn't be turning the machine on with the steam closed. The popping you hear is due to the vacuum. And the heat element light is STILL warming the group, so I don't understand the video title of the machine running cold.
That is a good pull!