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Carlman, going the server route sounds best for your new audio closet however, even not knowing where your closet is relative to your equipment rack, I'd rather be running a really long digital cable to an external DAC than a really long pair of IC's to get to your equipment rack... just a bit of food for thought!
Newk,Is lossless 0 compression? If so, the average CD is about 700MBs. . .so, take 700MBs x 1500 CDs = 1050000 MBs / 1000 = 1050 GBs. Even if lossless compression would cut that size in half, quite a bit of space is needed!!! A couple 500GB HDs would suit you! p