Put in a different window. Make it square and the width of the door plus frame and lower it so you have enough room for the crown. You are right it looks horrible.

Edit - Calla has the solution.

I think the best is to let the crown end at the walls on either side and put a casing to match around the window in a narrower width.

Can the window be lowered? There appears to be too much space between the window and the top of the door. There is no need for a header here as the header is above the window. And the window should have the same casings as the door.

Replacing the window is not an option, and I seriously doubt lowering it is as well. This is not a "custom" home build and the brick is already in. I think adding the casing around the window to match the door and tying in the crown molding above is probably the best solution, so hopefully my builder will go for it.

If not, would it look terrible to have them put the crown all the way across and simply arch the lower portion of it where it meets the window? I'm having a hard time visualizing that, but here in Texas, most homes do not come with casing around any of the windows, only the bottom sills in functioning windows.

Thank you all!

Patricia, I thought about that option as well, but the main reason I think that would look weird is because there are 3 ceiling bump-outs all the way down the entry, so when you're looking down the hall, you see crown molding above it. I think if you took it away, it would make it obvious that something is missing there. Here is the bigger view.

Go with what Calla said you need to frame out that window like the door below and run the crown into it from either side.

Oh for goodness sakes, why not trim the bottom of the crown to the curve of the window top?

You can either have them cope the molding as Janmuck suggested or add a keystone.

So, what did you end up doing?

I'd like to see how this was resolved. I have a similar problem with a doorway. Want to put in crown, but the arch is very close to the ceiling. Considering either trimming out the arch, or converting to a normal, right-angle doorway.

My builder had the drywall lowered down at the top part of the window a bit, so the crown was able to fit all the way across it. They simply added some to build it out more. I hope I'm explaining it correctly. I'll try to remember to take a picture of it when I get home.