Small room Speaker suggestions

After checking out your system I would like to share my thoughts as I have a dedicated audio room of similar proportions (11X12) to yours. My experience follows. I tried several stand mounted monitors but was never satisfied with their sound. By audiophile standards Dynaudio Audience 52s and Von Schwiekert VR-1s were probably the best. The monitors I preferred however were Acoustic Energy Aesprit 300s because they produced the best bass.
Eventually I came to the conclusion that a pair of floor stand speakers don't really take anymore room than monitors and if chosen properly wouldn't overpower the room.
I have used five models: Paradigm Studio 60V.2s, Vandersteen 1Cs, Vandersteen 2CE Signatures, Meadolark Audio Kestrel Hot Rods and Meadowlark Audio Shearwater HRs.
Although they are well below your budget, I would suggest the Vandersteen 1Cs. They worked very well in my room. The Shearwaters are what I liked best but I wouldn't recommend them as Meadowlark Audio seems to be defunct.
If you're still with me the point is a pair of floorstanders don't take up any more space than monitors on good stands and can provide full range sound with outstanding imaging. Good luck.

In my small room the listening postion is between 7 and 8 feet depending on recline angle. This is the minimum distance Meadowlark recommended in the owner's manual. It sounds fine o me as did the Vandersteens. The 1Cs regularly sell for less the $500 used on Audiogon. At that price you could give them a try and sell at minimal loss if not happy.