Had this problem and uninstalling java and reinstalling it works great I'm on windows 8.1 too if you want you can have my server.bat config but I use java -Xmx1024M -jar craftbukkit.jar -o true PAUSE
My server is called PaulsCraft by the way just incase anybody was wondering I just need a cool icon it could be like two swords clashed over eachother and then a PC for Pauls craft whatever you can think of.
Survival and factions plus pvp would make me join in a heartbeat I love the thrill of getting stuff and being able to lose it to another faction at any moment and having pvp wars and stuff.
This plugin called Citizens 2 would drag me in like a baby after candy, it brings npcs and guards and sentries and builders to the game that makes it like all the more fun to have something guarding several areas or just npcs to give quests.