Speaker vs. Room Size

Sean had great ideas. The Spicas are very good and you can easily and cheaply modify the crossover with polys/mylars and improve the imaging and detail tremendously. You can also stuff them with strip caulking to reduce cabinet resonance for about $12.

The BBC near field monitors are tremendous for this application. I just listened to the ATC speaker for $1100/pr. new and it was very fine. Purchase very good stands such as the Sound Organization and fill them with shot/sand to tighten up everything. Use the sticky blue stuff from Office Depot to tack them down and you are off.
Good luck.

Look at Merlin TSMs too. Used, they often go for a little less than the popular 805s. I agree, though, that you can not go wrong with the 805s. I find them to be easy on the ears at closer distances.

There are some speakers in my mind that you can build your system arround them:

Totem Arro (used $600),
Vandersteen 1ce (used $450),
Thiel 1.5 (used $750)

shop arround here, audioshopper or audioweb.

Coincident has revised its Triumph Signature monitor, price still $1199, and it may be extremely good. With claimed sensitivity of 94 dB, it is very friendly to low-watt amps. New tweeter and woofer (Vifa?), other improvements, nicely finished, coincidentspeaker.com. I'm curious about the EFE monitor, which was designed to compete with the B&W N805, has a nice looking semi-trapezoid profile. It's made by a small shop in California, Ed Frias, who seems to have a great reputation. $890. Contact him at EFESPKRS@aol.com. Check reviews on audioreview.com.

Thanks to all who responded. I've gotten some valuable info that really helps.

Bin