Thanks for all the opinions guys. The fireplace is not going to stay that size, going to put a glass door insert in that only has about 2-3"s worth of trim and sheet rock right up to it. So that white boarder you see around the fireplace now will be roughly how large it is. This way I can move the TV and center speaker down. The center speaker will be perfectly at ear level, and the TV will really not be that high, the ceilings are only like 7' (old house).
I have given up on the in walls, and am now between M22 monitors or M60s. The monitors will def sound better than the in walls, and should still look decent mounted to the wall and angled towards the seating position. UGH decisions.
