Hi,
diamondrocks!
We stayed at the Wellington Hotel
http://www.wellingtonhotel.com/ in December. It's not amazing, but nice enough and was a good price (we were hardly ever there anyway). I think we booked our holiday as a package deal through www.lastminute.com
The best thing about the hotel is it's location, it's close by to everything (nearly). Macy's, Times Square, Broadway and Rockafeller Centre are just blocks away; as is Central Park. 5th Avenue is also just a short walk.
http://www.wellingtonhotel.com/attractions_ny_ hotels.asp
We'd definitely go back there.
Hope you have a fab time! :o) x