Yes this is a solution however, the cat5 that runs to each head end (living room and basement) is currently being used as a network cable and they are wanting to keep it this way. This causes the predicament of being able to share the audio sources between the two head ends as I need a system that can transmit network and audio over one cat5.

I don't believe Crestron is capable of doing this unless there is a unit that I am missing from their catalog. We are not a C4 dealer so that is out of the question.