The case will only support a slim optical drive. It's really a limitation of going smaller, it doesn't help to cut down on the size of motherboard if you still have to fit a PSU, optical drive, HDD, etc. I try to avoid optical drives in my HTPC since they're usually noisy and slow. An external optical drive is an option or you can always use your main PC to rip the disk to an ISO or wtv format you want.
This FM1 motherboard does have HDMI out:
You can always get an adapter if the board you want/have doesn't have an HDMI out.