If it were me, and I was on a budget, I would recommend your main setup, that being the living room, (right?), and use your Denon AVR in there. That is the room that you and your family watch movies, and listen to music, right?
With that being the case, I would put the best speakers in there that you can afford. Sell those Polka, and build a pair of Seos-based speakers. I can't recommend a specific model because I don't know your budget, but, any of them, even the ones for well under $200 would give you a significant boost in performance. Power this setup with your existing Denon, and if it has a zone two, make good use of it to power whatever other setup you have that is not connected to a TV.
I am not sure how many total zones you have, but you could always purchase two additional well kept, used receivers for under $200 each. Most of those will have two zone capability.