AC
You have several options. You can do a mini-split AC system. This system utilizes a small compressor outside and refrigerant lines to an evaporator inside. Some compressors can serve multiple evaporators. Each evaporator requires 110 volts to run the fan, a condensation drain line, and the refrigerant line connections.
Another option is window units.
You can install a forced air system, but the ductwork is large and there are significant inefficiencies inherent in forced air HVAC. Personally, I hate forced air with a passion. I find it to be troublesome, poorly performing, incredibly inefficient, messy, and a poor utilization of space.
My favorite system (please bear in mind that I'm a professional historic preservationist and I deal with this a lot) is a fan coil system. To use fan coils for air conditioning, you'll need a chiller. A chiller makes cold water. This cold water is then pumped through the building via insulated pipes, just like in a hot water heating system. In each space you want air conditioning, you have a fan coil. A fan coil is like a car radiator with a fan on it. The cold water goes in one port, the fan blows the room air through the coil, and the warmed water leaves the coil from the other port to be returned to the chiller. Fan coils come in a variety of shapes, sizes, and orientations and are easily hidden.
Each fan coil needs a cold water supply connection, a warmed water return connection, a condensation drain line, and power to run the fan. Fan coils can be individually controlled, zoned, or controlled by a central thermostat. Since you can zone fan coils to your heart's content with only 1 chiller, you can save significantly on operating costs since you can cool as much or as little as you want whenever you want. Since fan coils require no ductwork, you don't have to tear out plaster, build chases, or deal with temperature loss or gain through ductwork. In fact, you can snake flexible supply pipes through the walls in a minimally-destructive pattern. A fan coil system isn't exactly cheap, but they are easily integrated into existing construction and tend to perform very well. Sadly, most residential HVAC is done via forced air because it's relatively cheap to install, particularly in new construction. Although it's cheap to install, it tends to be the least efficient and worst performing type of system.
I like radiators for heat because a radiator system has very few moving parts and is dead silent when properly functioning. Although you can heat with fan coils, I always recommend retaining radiators.
Is the oil-fired boiler for hot water heat, or steam? I love them both, but especially steam. Since the boiler is oil fired, you can burn bio-fuel or a bio-fuel blend to save money. Be careful, however, because many home heating oil burners and associated components may need new gaskets and seals if running high concentrations of biodiesel because biodiesel is a solvent. Some, but not all, seal materials are susceptible to being dissolved or weakened by high concentrations of biodiesel.
For more information, check out the link below. The website's owner has written some very good books on the subject of heating, particularly with vintage systems. And yes, it is not only possible to get top notch performance and efficiency out of vintage systems, it's relatively easy and highly recommended!
Clear as mud?
Dave
http://www.heatinghelp.com