Wow, I wasn't aware that there were plans to expand and perhaps even demolish the original Ambassador Hotel as far back as the 1950s.
I was sad to see the Ambassador close. I feel fortunate to have been able to see the inside of the Ambassador right before it closed; in fact I was there for a semi-formal dinner back in 1989, which I think was the year that it closed. I remember walking around the lobby, and wanting to explore some ballrooms, but the doors were locked. And, it was kind of creepy. Walking down some halls, hehe it reminded me of "The Shining." The hotel seemed so empty, too; I figured that there were few if any guests staying there. So I stopped exploring and went back to the dinner party. I remember wanting to explore the Cocoanut Grove, but I couldn't.