Comment Media Centre (Score 1) 5
Since server is always on, use it for media centre. Put cheap video card - Nvidia G210 is more than enough and supports VDPAU. Then connect it to TV directly using HDMI or if not available (walls, server conveniently hidden, too far away, etc), use HDMI over CAT5/6 extender. Add wireless keyboard and you're set. For added fun, put MediaTomb on it, if you have some DLNA clients on the network.