If you have the room for it, a pair of Vandersteen Model 2's and a pair of Vandersteen subs.
"I am considering: Paradigm S2's, BW 805d but then I think at those price levels I could get floorstanders but I don't see why the floorstanders cost so much more. So confused."
I think model 2's, without the subs will easily outclass the Paradigm and the B&W. But that is just my opinion. You really need to listen to them first.