Apartment Dweller's Paradise - The Ideal 2 ch. system?

If the room is really small (like my 18sqm study) I think nothing beats the Harbeth P3ESR speakers. Since they are a closed system, they can also be located relatively closely to the wall. In a somewhat larger room one could add two small subwoofers (works a treat, I tried it, but with Antimode 8033 equalization), and or move up to the Harbeth M30.1.
Electronics would depend on the sources that are required. Assuming a TV and discs are also part of the story, I would go for an Oppo UDP205 as a universal player, serving as a pre amplifier as well. Chromecast Audio for streaming. Add a 2x100 watt power amplifier (or more in a larger room and with the M30.1) with balanced inputs. Benchmark AHB2 if you want the best, Emotiva if budget matters.
If a disc player is unneccessary, why not a Yamaha RN 803d?

Or if I am to move into VERY small efficiency (renting an apartment or buying a condo)(about 500 Sq. Ft. or less), and would still would like to have excellent sound, then I can also put together this nice little system for VERY little money.

Speaker System:  ELAC UB5 — $500.00 or Wharfedale Reva-2 — $1000.00*
Speaker Stands:  Sanus Steel Foundations SF26B (Sand/Lead Filled) — $130.00
Powered Subwoofer:  Speedwoofer 10S RS Wireless — $400.00
Integrated Amplifier:  NAD C-338 — $650.00
Headphones:  Sennheiser HD-650 — $500.00
Turntable:  Pro-Ject Debut Carbon Esprit (in Black) — $600.00
Phono Cartridge:  Ortofon 2M Blue — $250.00
Digital Music Player:  BlueSound NODE 2 — $500.00
Speaker Cables:  AudioQuest GBC — $150.00
Interconnects:  AudioQuest Red River (2 Prs. @ $120.00 each) — $240.00
Digital Cable:  AudioQuest Pearl (Coaxial) — $40.00**
Tablet:  Apple iPad Mini 4 (128 GB)(Additional Music Source) — $400.00
Smart Phone:  iPhone 6S (2015)(64 GB)(w/NAD & Speedwoofer Apps) — Free
Stand:  SolidSteel S5-5 — $1,500.00

System Total:  $5,860.00 w/ELAC UB5 Speaker System
System Total:  $6,360.00 w/Wharfedale Reva-2 Speaker System

* = Wharfedale Reva-2 has a Piano Cherry or Rosewood Finish I find to be intoxicating and that I “MUST” have

** = Price of AudioQuest Pearl Coaxial Digital Cable is approximate

—Charles—

And if space is really at a premium: ATC on wall speakers: http://atcloudspeakers.co.uk/hi-fi/loudspeakers/hts-on-wall/hts7/

I would get the small harbeths and a Croft amp or used red wine as suggested. On a smaller budget perhaps powered speakers like Adam pros with a good dac streamer like bluesound or oppo. 

Ideal system for a SMALL space is a headphone system ,
With a little careful buying you can get as good, or better, than the average
10K$ system for a thousand bucks .
And 95% of the population can adjust to "phones. After 3-4 weeks they seem normal .