I don't want to insult you, but do you understand the difference between the recovery partition and "internet recovery"?
Command-R at boot = recovery partition.
Command-OPTION-R at boot = internet recovery.
Try this (PRINT THIS OUT and check off steps as you go along):
1. Power down and disconnect everything except for keyboard and mouse
2. Press power on button, and IMMEDIATELY hold down "Command-OPTION-R" and KEEP HOLDING IT DOWN until the internet symbol appears
3. If you are connecting via wifi (instead of ethernet) you'll need to enter your wifi password
4. Booting up this way will TAKE SOME TIME. Be patient.
5. When you see the utilities menu, choose Disk Utility.
6. When Disk Utility opens, type "Command-2" to "show all devices" (you can also choose this from the View menu).
7. Now select the TOPMOST item in the list on the left. This represents your physical drive inside the computer.
8. Click the ERASE button and choose AFPS
9. Erase the drive.
10. When done, quit Disk Utility and open the OS installer
11. Try installing the Mac OS now. It will involve a few reboots and take some time. BE PATIENT.
12. When done, you should see the setup menu.