And now that portion of the wall is grayish blue.

We're going with a lovely color called "Shore" from Restoration Hardware. My wife popped in to check on progress and declared that she LOVED the color next to the grey of the soffits and black in the ceiling. She's starting to see the end and she likes what she sees! YES!
Hopefully I'll cut my first few MDF panels next week!
Progress has been very swift lately. I'm back in town after a long weekend wedding and then a business trip back to back.

I'm going to rip up the existing carpet this weekend so that the new stuff can come in next week. I have shoved equipment into my rack and hooked it up in an extremely basic fashion so I can enjoy music while I work.
The projector has been getting some casual use while I paint and such but it is still not hung. I've got all the pieces of hardware now to hang it but I still need to run the electrical over to the mounting position.
I've put a base coat on the molding that I'm going to install between the soffits and the ceiling. The molding will be the same grey as the soffits. Once the carpet is up I'm going to paint the existing toe molding the same grey as the soffits also. That molding will be beneath the MDF panels and against the black/grey carpet.
Tonight I painted most of the stairwell leading up to the kitchen. I'm using the same blue as the theatre walls. Hopefully I'll finish that Thursday (another 6PM meeting for work tomorrow... sigh).
Coming along shortly will be outlet replacements. I ordered all the Lutron Midnight decora outlets and screwless wall plates I need for the room and stairwell. While I've got the power off I'm planning to seal off the dozen or so outlets, phone jacks, cable jacks, and other miscellaneous jacks in the room that will be covered by either MDF or acoustic panels.
I've been thinking about the acoustic plan more and more in the past week. There's a new flutter echo in the room that wasn't there before I padded the screen wall. Now that one pair of walls is treated, the other (long wall) pair seem to have free reign to ping back and forth. The echo isn't sustaining or anything but it was surprising.
I'm wondering just how much scattering I'm going to see with the MDF wave wall panels. Those panels are wildly non-parallel so maybe that will work out OK? Fingers crossed but I'm not holding out much hope.
NicksHitachi might pop over to do some more measurements when the new carpet's in. I'm going to slow down on the absorptive wall treatments until I see some new numbers in the room.