Page 1 of Great music AND home theater - Is it possible??

I want to have great music (I listen to mostly modern and classic rock and blues) AND a great home theater experience in the range of US $2,000. My two-bedroom apt is 102 square meters, but the main entertainment room is about half that size. How does the following system sound: B&W DM 602s front speakers; B&W LCR 3 center speaker; KEF Q8S rear surround speakers; B&W ASW300 Subwoofer; Denon AV Receiver AVR 2803; Pioneer DV 667 DVD Player; and NAD 521bee CD Player. Some questions are: How can I improve this system without adding to the cost? Or, how can I lower the costs of this system since its actually over my ideal budget? Will the NAD CD player add substantially to music sound, or should the Pioneer DVD player be enough? I like the Rotel CD Player and Amp and Quad 11L speakers alot, but don`t see how I can work those in and still have a great home theater system without adding another US $1,000. The Denon AV Receiver AVR 2803 is meant to process data for both CD Players and DVD Players, right? Is this the best choice in that price range for an AV Receiver? Any ideas, suggestions, advice?