Carol Tsai found herself in a perplexing situation upon receiving an unexpected email from the Sonder hotel where she was staying in London. The message required her immediate departure, leaving her unsettled as she had already settled the full payment for her accommodation.
Guests across various Sonder locations worldwide, including New York and France, faced a similar abrupt eviction after Marriott terminated its licensing agreement with Sonder due to payment default. Sonder, renowned for its short-term rental and boutique hotel units in over 40 cities, including its founding city Montreal, declared a sudden shutdown and liquidation.
Marriott severed ties with Sonder following the latter’s financial default, disrupting guests and employees alike. Amina Balde, a front desk staff member at Sonder’s Apollon location in Old Montreal, described the shocking moments when they learned about the bankruptcy just before losing their jobs.
Sonder’s growth trajectory from its Montreal inception in 2012 to its U.S. base involved substantial investments, reaching a valuation exceeding $1 billion by 2019. Despite initial optimism, challenges integrating booking systems with Marriott led to severe financial constraints and a subsequent bankruptcy announcement.
Marriott emphasized assisting affected Sonder guests with rebooking and compensation, prioritizing those who made reservations through Marriott platforms. Tsai, a traveler from Thailand, shared her struggle to secure alternative accommodation following the sudden eviction, expressing hopes for a full refund and compensation for the inconvenience.
As guests affected by Sonder’s closure seek alternative lodging, industry experts advise exploring direct hotel inquiries for potential cost-saving opportunities in the aftermath of Sonder’s shutdown.