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Small space but large home theater aspirations?
You'll need your space for speakers and seating, so you need to find an elegant and efficient multi media storage unit. An audio entertainment center truly worthy will hold not only your DVD, CD and VHS, but also your components. Deep doors hold the movies and music while the shelves hold the players and you can close it up to hide it away to protect and so that it doesn't interrupt your decor.
If you can, a wall mounted flat screen TV would be ideal but if you can't afford that, grab a cabinet that can hold the TV inside or get a TV turntable that makes your TV placement more flexible.