At under $1200 with DVD as an option, consider using a DVD player as a transport and getting a separate DAC for 2 channel audio. Just one example is a Dan Wright modified MSB Link DAC with the optional P1000 power base for around $600 in the Agon classifieds. You could add a Dan Wright tweeked Pioneer DVD player as the transport for the other $600. See www.modwright.com..Stan Warren does similar things.
Does your friend prefer a tube or solid state preamp? BAT offers good value in tube and solid state, and many models have a remote.
If your budget is $2500 for both the preamp and amplifier combined (not $2500 each), then look at Bryston gear. Their 4B-ST amplifier sells for under $1500 used.