izod,
As previously mentioned, there are ways to get around the throw distance of a CRT. And I did precisely what you hinted at... mounting it on the wall... well, sorta.
Here's my set-up:
To begin with my HT room is fairly narrow - 14 feet (2 foot wider than your room). I built a box to mount my projector in the vertical position with an adjustable mirror right above the projector. The reason I did this is to avoid the 3 1/2 feet of projector chassis that would effectively rob me of my throw distance.
In addition to that my mirror assembly is built on a vertical track, so if necessary, I could raise it 2 feet vertically and increase my throw distance. I've got an average mirror and it works fine. (I haven't tried a primary-surface mirror yet.)
Lastly, my mirror pivots on 2 hinges so that I can adjust it so that the image is centered (vertically) on the screen without having to do it electronically.
It works pretty good, and I'm happy with it. With the couch against the box it acts like a hush-box, so I don't hear any noise. (...not that you could hear it over the sound system...) The image is projected well over our heads so that's not a problem, and the only downside to the box is that it does push the couch out from the wall by about 2 feet.
For our 4 windows and 2 doors (w/windows), I've resorted to blinds AND curtains. It's not pitch black during noon, but it's quite watchable.
With my 14 feet of throw distance, it completely fills my 11.5 ft wide x 6 ft high screen... And MAN IS IT COOL! (quality vs. quantity is a personal choice...) My BG808 is set at 50 brightness and 50 contrast and the picture looks real good and is comfortably bright.
Ok, ok... I'm going on. Hopefully, my closely parallel situation will help in your decision.
P.s. The projector box isn't the prettiest, but the life-sized screen more than makes up for it.
Here are three pictures of my set-up.
