Is it too late to suggest? Have you already booked?
What about staying in the heart of Greenwich Village? On the north-west corner of Washington Square is the small Washington Square Hotel, modest and convenient (once the Hotel Earle, still seen in movies) and you can walk down Christopher Street to the pier out in the river. You come out the front door and over there on the left is the quiet park; you can walk from the Arch up 5th Avenue, go up 6th to Radio City Music Hall, go up 7th to Times Square and the theatres. Or, go down to SoHo, Chinatown, The Battery or see the English Garden Memorial or the Irish Memorial, new attractions downtown. City subways abound, are safe and go everywhere. You would be very central to all of New York City. Doubles @ $170, Quads @ $205; continental breakfast included. They do group rates, have a web site. (I got a rate card whilst walking by.)
Or, stay in the heart of it all, just off Times Square, between 7th & 8th Avenues. The Edison, on West 47th Street is modest and good with groups. The Paramount, on West 46th, is all Philippe Starck and actor-dancer-model staff running about in head-to-tow black. It can be fun.
Or, of the new-build 700-room high-rises, the Marriott Marquis does all the Marriotts do, right there on Broadway.
All 3 houses uptown are not far from the QM2 pier and all were purpose-built as hotels; all have web sites, all are easy to get in and out of, all are convenient......google them.....take at look. You might find one just the ticket.
I live in NYC and I've had people visiting in all of these hotels; all comments have been good. Try one? I'll be thinking of you 20 December; then I'll be flying to London for the holidays and to take the QE2 transatlantic back home 03 January.
Enjoy your trip.