Looking for HT projector and screen recommendations.

I am considering the EPSON 1080 UB for a room that is 30x20x9ft I will be seating aprox~ 15feet away. I wonder how good the picture quality will be compared to a 1080p LCD TV or a rear projection unit, as i have never owned a projector. I think celling mounting it will be a good choice as it is out of the way. The lighting conditions will hopefully be fairly dark. I dont understand one thing...if i move a projector further away from the screen will it negatively affect the picture quality? I was thinking a ~90" screen would be nice. I dont really know what type to get, I am thinking manual screen would be best, as I dont want to spend more than a few hundred on a screen. I am open to suggestions to get the best package possible under 3,500.