I'm always clueless on availability and pricing up in CA. But I typically recommend something like the 663 + Emo amp for about $850 total. But, perhaps you don't need an outboard amp as midcow thinks. In which case, instead of spending on the amp, you can use that money towards upscaling.
However, I wouldn't look towards the receiver to upscale unless you can obtain Realta/Reon. I think the Onkyo 875 might have dropped to about 1k.
Anyways, I usually think something like these price points
$400 = yam 663
600 = onkyo 805
850 = 663 + emo
past that = whatever you want
But, I never really considered upscaling pre/pros-receivers very seriously. Would've been nice to have before, but now I have no use for it anyways.
-j