I started with a hole similar to Mark's installation. In fact, Mark's DIY was my inspiration and starting point. However, the hole became problematic when I wanted to use the Panamorph. The whole idea is to have the projector out of sight for noise and aesthetic purposes. The hole that I originally made for the projector lens would not work with the Panamorph. I ended up making an 8x10 opening to install a piece of non-reflective optical glass in the wall and I have the projector and the Panamorph behind the glass. It works great and gives me the freedom to easily adjust the lens and projector, if necessary. The glass looks cool too (not that I care about such things). Finally, and most importantly, my wife approves.
Alan