Krell HTS 7.1 vs Denon AVR-X4300H

Trying to build a home theater system which can double as audiophile stereo, either 2 channel or 5 channel.
Sound is more important for me than picture.

ordered epson 5040ube
already got krell KAV500 amp
just placed an order for oppo 205 blue ray
have rel S5 sub
considering vienna acoustics 4 ohm speakers, mozart for front and haydn for rears, with center maestro

Need a home theater processor. Have a good offer on Krell HTS 7.1. (1000$) vs. Denon avr x4300h
What would be better for my setup. What are pros and cons of either preamp? I would use the devon as preamp for sound only as it doesn't have anything modern in terms of video. As I mentioned, music is very important to me. What would be a logical choice here? Any other suggestions for preamp and spearers are welcome, I'm new to this home theater stuff. Also, Dolby atoms is not important to me, my amp only has 5 channels, unless i can use denons amp in addition to my krell amp to add more speakers, not sure if this is possible.

My current 2 channel audio system is Mcintosh ma6600 with mcd550 and vienna acoustics mozart, and I love the sound.