I don't know about TVs, but one factor with modern projectors I've auditioned is they seem to be much brighter (even after adjustments) than the older ones I'm used to and this mercilessly exposes the digital and other unwanted noise in the VHS and DVDR material that (of necessity - and not just economic) comprises a large part of my collection. As others have reported here and elsewhere, the films in these inferior formats looked far worse than on my lower-spec machines. So I've stuck with my old SD projector - in fact, I've been buying up more of the same model on eBay as people sell them cheaply when they upgrade. It's now virtually impossible in the UK to buy a decent non-1080p LCD projector new anyway, and there's no real choice even in 1080p LCD in my sub-£1000 price range. There are far more low-priced DLP machines but I cannot watch DLP, being very susceptible to "rainbow effect" - I see them literally every few seconds on black & white films.
Returning to the OP's complaint about films being sold only in Blu-ray editions, I haven't found that to be the case in the areas that interest me. In fact, the tide seems to be turning the other way, at least in the UK. Masters of Cinema adopted a hard-line Blu-ray only stance a couple of years ago, but were quickly forced to abandon it for parallel and now Dual Format releases (except with titles like Touch of Evil, already out on DVD). Even when films are remastered for Blu-ray, there usually seems to be a new DVD edition (e.g. Kino's Keaton series). As long as this continues, I've nothing against Blu-ray and in fact I've owned a BR player for several years (when they were quite expensive, it was dumped on me after one use at a trade show!)
But for the foreseeable future, it's more important for me to continue watching hundreds of obscure films in OK quality than achieve "perfection" with the relatively tiny number of films released on Blu-ray that really interest me. Another factor in this equation is that even the films I'd buy on Blu-ray are ones I've already seen countless times over the past four decades (and I mean titles like The Phantom Carriage as much as The Adventures of Robin Hood) and am likely to revist less than those I don't know so well. Also, most Blu-ray releases in my areas of interest tend to be of titles that are already my best-quality DVDs. No doubt the Blu-rays on an ideal system look far better still, but I'd still rather sacrifice that experience and not have all my off-air and VHS material look far worse than it does at present. The ideal solution, I suppose, would be to run two projectors in tandem but it isn't practicable for me (and I don't like watching anything on a computer, or even a TV).