Multi zone system
Most mid-fi receivers include an optical digital output which you could run to your audio equipment in the other room. Not to be confused with the analog zone 2 feature with allows a seperate source to be running in each zone. The other common workaround is to run analog and digital cables from your sources (DVD, CD, etc.) to the receiver so that the zone 2 ouput can utilize the analog signal.
Models like the Yamaha RX-V2500 and Denon 3805 can do this. With newer models like the Yamaha 2600 and Denon 3806, you should be able to utilize the HDMI for the main zone and component video for the second room.
If you want anything more complex, I would recommend a mid-fi receiver in the main HT ($1-2k) and a second stereo or HT receiver and DVD player in the other audio room.