Yeah, I'm in the don't do it camp. I did it for a while with a ceiling mounted projector with similar dimensions to your set up and it wasn't that comfortable. I'm 6 foot 5 for one, so I was always in the way. Kinect is better with bright, diffuse light, which is miserable for a projector screen. Also, the light from the projector itself sometimes caused problems. And then you'll keep needing to rearrange your chairs to make room, as the Kinect requires a lot of space, more if two people are playing. It's best in a large, brightly lit living room. Maybe if you had a projector mounted really high, like 12 feet up, and with a high gain screen it would be doable.