newby here, with lots o' questions

Well, I've lurked around for a couple of weeks, so I figure it's time to introduce myself, and I may as well accompany the intro with a few questions.

I'm in the process of buying a home that has about a 31' x 12' semi-finished basement that I'm intending to convert into a home theater. By "semi-finished", it has paneling on the walls, a hideous foam-tile ceiling, and 9" (yep, almost certainly asbestos) vinyl tile on the floor. It also has a dry bar in one corner, with a corner post that happens to be the main waste stack (friends are already plotting how to install a sink over there :-) ).

My intentions (besides a sink and small fridge in the bar area) are to take down the ceiling tile as part of a housewide electrical upgrade, take up the floor tile and lay down carpet or other resilient floor material, and possibly do a raised seating level for the second row. One of my big problems is that my ceiling height (floor to joist bottoms) is only about 6' 7". Initially, I'll probably put my 32" Sony CRT and A/V stack down there (routes to a 5.1 speaker system), but ultimately, I'd like to acquire either a Mitsubishi HD1000U or a Hitachi PJ-TX100 for video (and keep the A/V stack, which includes a receiver and 300-disc CD changer, as well as a home-hacked, 10Base-T equipped TiVo with a 250GB HD).

I'll try to include some photos and/or sketchups over the next couple of weeks, but would wlecome any inital thoughts on:

tile/adhesive removal: I know it's probably asbestos, and I'm ready to take the necessary precautions in removing it -- any suggestions on a solvent that will allow for non-abrasive adhesive removal (and not be more dangerous to inhale than the asbestos fibers)? Once it's removed, any thoughts on leveling what is sure to be a rough-surface floor?

electrical upgrade: Since I've got (and would like to keep) the paneling on the walls, would it make sense to go surface-mount for wiring and outlets? Naturally, since I'm taking down the ceiling, I'll be doing recessed lighting and wiring in a box for a future projector up there.

ceiling height: Can I even reasonably DO a projector in a room with this height? I'm only a beginning videophile, so needing to tilt the screen and/or projector and do some digital keystoning is completely acceptable. Also, thoughts on building a raised platform for second-row seating? 2x4's on edge plus 1/2" plywood decking, then carpet on that?

flooring: What is recommended? Would low-pile indoor/outdoor carpet be best? I've not done an official moisture test on the basement, but by all appearances, it is dry.

ceiling: Again, what is recommended?

As I said, I'll post more information as it becomes available. I'm really just looking for guidance.

That's one of the things that moved me toward the Hitachi... $899 from projectorpeople, 720P LCD, w/ vertical and horizontal lens shift. I've just heard such glowing (no pun intended) reviews of the "light cannon" that is the Mitsubishi...

took another look through my notes - the room is actually just over 29' long, and 11' 2" wide; L-shaped bar is located just under 18' from front wall, and is 65" wide parallel to the short wall, turning 90 degrees and running 96" parallel to the long wall; I may lose another couple of feet in the length of the room because of the intrusion of an angled enclosure for the water heater (although, in a "lemons from lemonade" turn, this may be the ideal place for my A/V rack)

oh, and with a little research on DIY Forums, I found a document from RFCI that details proper wet-removal procedures for VAT (Google for RFCIRecommended9-04.pdf, posting restrictions won't let me post URL's yet)

davdev, do you have any specific Panny or Sanyo recommendations?

It's not the thickness that concerns me so much as the perfectionist in me just wanting to "do the right thing". I may, or may not, no cast-in-stone decisions have been made yet.

Without reviewing the document you referenced, trekguy (although I will later on, thanks much for the link!), is indoor/outdoor carpet generally too acoustically "reflective" to be useful? I'd be curious for more specific recommendations, with one proviso: I have a dog that, while not long-haired, sheds like an SOB at times, and has hairs that love to stick to EVERYTHING. I'd hate to have to shut him out of the theater...