How do I make a HT system out of this?

I am thinking of setting up a HT system but I have space restrictions that limit me from having separate audio and HT setups.
I am hoping there is a way to use what I already have for music and add to it for HT.
Currently I have the following gear:

Loewe Xelos TV
Sonic Frontiers Line 1 SE Pre Amp
NAD SIlver Series S200 Amp (250w/ch)
NAD Silver Series S500 CD
Sony SCD-1
Dynaudio 1.3 SE Speakers
Alon II Mk II Speakers
Mission 771e Speakers

I was thinking of adding a NAD T761 Receiver and running the front speakers from the SF Pre and S200 Amp, while using the T761 for the center, sub and rears. Audio is more important than HT so I am not looking for perfection in the HT setup.

Questions are:

1) Should I use the Dynaudios or the Alons for the fronts
2) Depending on the answer to question 1, could I successfully use the Missions for the rears.
3) If yes, can you recommend a center (I am in Australia so I can't get any more Alons - can get Dynaudio and Mission).
4) I live in an apartment and don't want to get thrown out - do I have to have a sub?
5) Will I lose much audio quality through the front speakers using the T761 in the line or does the bypass not affect things too greatly.

Thanks to all