Media/File Server build

I am looking to build a new machine specifically to run a File Server with an XBMC/Kodi Media server running on it. It needs to be a small rig with minimal power draw but high storage. I already have at least 1 1.5TB drive for the system. It will be running Linux for the OS so Windows can suck it. 

I am open to AMD or Intel. It will be 64bit OS so no need to limit RAM to 4GB. I expect to be serving up to BDRips of my favorite BluRay disc movies. I ripped my movies to ~ 1.7GB h.265 MKVs. It usually is my gaming rig but I want to free up space on my gaming rig for games but still have my media available for my family to watch without impacting my games. I have a budget of about $600. It will be streaming not rendering the video. so No GPU besides basic igp is necessary since there will be a webpage based control method.

I would still use your gaming rig for ripping since it will be faster but to store the movies on the NAS.

Software wise I would go with CentOS or a minimal Opensuse for stability  and 24/7 ops.

Cant do any hardware stuff atm since I am stuck on a phone.

Older server hardware is a good option and is pretty cheap on eBay.

Something like an HP DL380 G5 or a Dell Power Edge 2950, then get 32GB of ECC RAM, a SAS card like an IBM M1015 and you've got yourself a FreeNAS server

There's a bit more to it but you're looking at around half of your budget on that. Let me know if you want more info

This.

I was hoping for something like a Kabini server or something...

Why not the 8-core atom boards that are floating around? Slap 8 gigs of RAM and few 3TB drives and have a machine that does it all while drawing the lowest amount of power possible. At a minimum, this build would be around $700 though, but perform better than a Kabini based build with more cores at the same power rating.

Also, I second Taco_Bell's recommendation of using CentOS or OpenSuse for a build like this.