i used to want a dedicated room, but no more. my next house will be open floor plan and allow listening from the kitchen, etc. I'd rather have it in the living room than on the proverbial audiophile throne. More of an Albert Porter setup
My friend has a set up like this and his system is impressive. The sonics are less than ideal, but it is a compromise that he is willing to make because he enjoys listening from the kitchen while cooking. We all have our preferences.