Axiom speakers
I think that Axiom bookshelf setup is a good option. I am looking to upgrade to something similar. Concerning number of channels, you are better off starting with a good 5.1 setup, then upgrading later to 7.1 if necessary.
I think that the M22ti's will do fine in your room. You might be able to get away with the smaller center, VP100. For the surrounds, I would upgrade to 2 of the QS8s. They have the same driver as the mains and will be a better tonal match. For 7.1, add two more QS8s or a pair of M2is for the rear surrounds.
Don't forget the subwoofer. SVS and HSU have some good 10" subs for $400 and up. For over $1K, the Axiom EP500 is nice, too.