This is sort of a just for fun thing (I dream a lot instead of doing real work). It is difficult to say right now whether I would call this dreaming or planning (it would certainly be a dream right now, but could easily become reality 1.5 years from now when I am out of graduate school and have a real job), but I want to come up with the best dedicated theater for between $15000 and $17500. It would likely be used as a 95% movie, 5% Xbox/music/TV system. This budget would be for any non-construction/furniture items, such as
5.1-7.4 Speakers
Reciever/Separates
Projector
Screen
Blu-Ray Player
Acoustic Room Treatments
I certainly am a bang-for-the-buck/function-over-form type person but I am also a big fan of quality and reliability. My future wife would be concerned about the aesthetics of the speakers and screen. She probably wouldn't care about the looks of the components as they would be in a nice cabinet behind the seating. I would also most likely use my somewhat competent woodworking skills to build a box for the projector as I have now that would reduce concern over projector aesthetics, versus a simple ceiling mount.
I like Paradigm, and have good rapport with a decent (not great) dealer of Paradigm and Denon, but Paradigm is really all I have had since my purchasing days began, so I am sure open to new brands. My Rotel RSX-1065 has served me well, but Rotel seems to charge more for their name and have less features than competitors these days. I like the idea of separates from the standpoint of upgrading just the processor when a new technology arrives, however, it seems that may not be the best cost-wise for a movie theater. It may be fine for this budget.
Lets assume a basement room with dimensions of 16' by 24' with no windows, 8' 6" ceilings. This or other options may be possible if we were to be able to build a home of our own design right away out of school, which is probably not realistic.
Let the opinions and recommendations begin!