degbi,
I'm sure you're referring to the Crowne Plaza, which overlooked the Plaza de Espana. I stayed there in Mar. 2005, but when I went back last month, I was surprized to see that it had closed.
The name has been taken down, so I assume it's closed for good. I think the building is called "Edificio Espana" (or is it "Edificio Madrid"?) Does anyone know what happened or what it'll be used for?
Just curious, since I no longer live in Madrid!