Sonder, a prominent short-term rental company, has abruptly ceased operations and closed several of its Philadelphia properties. The sudden move comes just one day after Marriott International terminated its licensing deal with the company.
The integration process between Sonder and Marriott was expected to streamline their booking arrangements and systems. However, according to Sonder, prolonged challenges in this integration led to significant financial constraints that ultimately contributed to its downfall.
Sonder, which had a presence in over 40 cities worldwide, revealed that it planned to file for bankruptcy and liquidate its assets. This decision is attributed to the company's inability to overcome the difficulties in integrating with Marriott.
As a result of Sonder's closure, several Philadelphia properties have been affected, including The Arco, The Queen Hotel, Sonder The Witherspoon Apartments Center City, and The Edison. While some guests were given 24 hours' notice to vacate the premises, others were left scrambling to leave their accommodations.
A sign posted at one of the closed properties read: "This Sonder Property is now closed... If you have an active reservation for this property, please contact Marriott Customer Care." However, a similar sign was not displayed at The Arco, which remains operational despite being owned by Sonder.
Similar scenes are playing out across the country, with travelers facing unexpected closures and disruptions. One guest reported that her entire building in New York City was asked to vacate within hours of the closure announcement.
Sonder's CEO, Janice Spears, acknowledged the company's failure to overcome its integration challenges. "We are devastated to reach a point where a liquidation is the only viable path forward," she said. The company had explored alternative options, including a potential sale, but ultimately decided on liquidation as the best course of action.
As Marriott takes over Sonder's properties, it remains unclear how long guests will be able to use their bookings or what the implications of this closure will be for travelers in Philadelphia and beyond.
The integration process between Sonder and Marriott was expected to streamline their booking arrangements and systems. However, according to Sonder, prolonged challenges in this integration led to significant financial constraints that ultimately contributed to its downfall.
Sonder, which had a presence in over 40 cities worldwide, revealed that it planned to file for bankruptcy and liquidate its assets. This decision is attributed to the company's inability to overcome the difficulties in integrating with Marriott.
As a result of Sonder's closure, several Philadelphia properties have been affected, including The Arco, The Queen Hotel, Sonder The Witherspoon Apartments Center City, and The Edison. While some guests were given 24 hours' notice to vacate the premises, others were left scrambling to leave their accommodations.
A sign posted at one of the closed properties read: "This Sonder Property is now closed... If you have an active reservation for this property, please contact Marriott Customer Care." However, a similar sign was not displayed at The Arco, which remains operational despite being owned by Sonder.
Similar scenes are playing out across the country, with travelers facing unexpected closures and disruptions. One guest reported that her entire building in New York City was asked to vacate within hours of the closure announcement.
Sonder's CEO, Janice Spears, acknowledged the company's failure to overcome its integration challenges. "We are devastated to reach a point where a liquidation is the only viable path forward," she said. The company had explored alternative options, including a potential sale, but ultimately decided on liquidation as the best course of action.
As Marriott takes over Sonder's properties, it remains unclear how long guests will be able to use their bookings or what the implications of this closure will be for travelers in Philadelphia and beyond.