You are probably looking to get a 32" flat panel if your cabinet will hold 35". My personal recommendation would be a Sony or Samsung LCD. I own a Sony 46" LCD and love it. Friends have pretty much every other brand you could name. The picture of my Sony is better than others, even noted by the owners of other units. I also like the Samsung LCD's. My brother-in-law has a 27" and 42" Samsung LCD and they both are very nice quality images.
Of course you'll want to get an HD box (cable or satellite). Hopefully your provider offers the HD box for no additional charge, like mine does (Cablevision).
Right now is actually a very good time to buy electronics, as the new models start coming in during Sept. or Oct. So you can get a deal on a model from last year, and there won't be much of a difference at all, if any. Looking at the Sony 32" Bravia XBR and Sony 32" Bravia, the difference is only $200, so I'd go with the XBR. It gives you full 1080p HD and also more HDMI ports.
When purchasing, take a look at your local wholesale club. Sam's Club sells many top brands (Sony, Samsung, Panasonic, etc.) at decent prices. The only thing to watch out for is, due to timing, the wholesale club may be priced close to retail. According to Consumer Reports, when buying a LCD TV, the extra warranty is not needed. That's a personal decision though.
IMHO