Can you post a photo of the space? I can't imagine that tearing out tile and fixing/replacing drywall would be more then a small blip in the total cost of a complete kitchen reno. What is it that makes your situation so much more complicated?

Hi Brenda, will post a pic ASAP. In this case, the tiles cover every inch of wall and ceiling and are joined to the wall with a very tough cement/metal mesh material.

how old is the house? Any chance you might be willing to tear it out yourself? A hammer and 5-in-1 can take care of the tile. I don't know how the metal lath is attached, but if you get your 5-in-1 or a pry bar behind it, you can find the fasteners and pull it off. Wear garden gloves (the cowhide ones) when taking off the metal lath. I learned that the hard way. The ends are very sharp.
The expensive part is fixing the wall when you're done demolishing it.