"Close All" did not only close editor windows but also all package editors.
That is even more confusing. And that means it was to some degree in the wrong menu.
If we do need/want that, then IMHO there could be an entry in the package menu for that.
I can understand that over time the amount of open stuff grows (and grows out of control). And that means to quickly clean up may be needed.
I can't tell which are the most convenient of them all, because I have not used the old one myself at any time.
Since "close all" was often mistaken to close the project, it is plausible that closing all the open package is something one may want to do when changing project.
If that is the case it could be a checkbox in the "New project" dialog.
It could also be an option, that it always happen when a new project is opened (never mind by which means).
Just make sure it is an option. (I usually have always multiple package open that I want to be kept open never mind what I do / And I get upset enough if the IDE on occasion forgets to reopen them on restart).
So the question still stands:
What (and when) exactly is needed. What should be achieved?
So we can look into ways that could do that, yet do not mislead about closing the project?