Leeds sacked Marsch in early February and Rayo Vallecano coach Iraola was one of their top targets to succeed the American.
Iraola was intrigued by the possibility of managing Leeds in the Premier League, but Rayo Vallecano were determined to keep the Spaniard at the club and blocked his exit.
The Spanish tactician stated that he feels flattered that the Leeds hierarchy deemed him worthy of managing the club, but insisted that he is happy with his current club.
Iraola revealed that Leeds had an open discussion with the Spanish outfit regarding the prospect of him joining the Yorkshire outfit and added that, after a day-long conversation, he decided that it was not the right time for him to join the English outfit.
“You cannot think in things that could have happened”, Iraola told Sky Sports.
“It was what it was.
“I think it was a very open decision.
“We talked to the club, and Leeds were also very open with Rayo Vallecano.
“We talked for one day, ‘OK, it’s not the moment, it’s over.’
“It is nothing more than that.
“I am very pleased that they thought of me as an option, but I am also very happy here working for Rayo Vallecano.
“I hope they finish the season well, but right now we are doing well, so we are not thinking too much about that.”
Leeds appointed Sam Allardyce to guide them to Premier League safety and it is still unclear who will be in charge of the Whites in the upcoming season.
