Nick, I guess you hit it right on the nail at that price range, especially if you can get the BenQ with the HD2+ chips. I don't think other new projectors with HD2+ are coming down to this price level just yet. Other "usual" suspects in this price range include the Sharp Z10000, Optoma H76, InFocus 7200/Toshiba MT8U. Also, perhaps you can get some discount on the Yahama DPX-1000 or Marantz 12S2 (being replaced by the 12S3 with HD2+).

Anyway, I am fairly confident that you will be glad to go for a front projector rather than a plasma or a big-box RPTV at this price range, especially given that you will set it up in the basement.