New York City, November 12, 2025
Marriott International has abruptly terminated its partnership with Sonder Holdings, impacting numerous guests with immediate vacate requests from properties. This decision, attributed to a default by Sonder, has raised concerns about the future of apartment-style accommodations under the Marriott brand. Guests are being supported through alternative arrangements, while Sonder is moving towards bankruptcy. The hospitality landscape faces uncertainty as Marriott seeks to adapt to changing consumer demands and manage the fallout from this termination.
Marriott Ends Partnership with Sonder: Travel Disruptions for Guests
The abrupt termination of the Marriott-Sonder agreement raises concerns for travelers and the hospitality landscape
New York City, NY
On November 9, 2025, Marriott International made headlines by terminating its licensing agreement with Sonder Holdings Inc. The decision, driven by the assertion of a default by Sonder, resulted in the immediate removal of Sonder properties from Marriott’s booking channels. This move has left many guests stranded and raises important questions about the future of apartment-style accommodations under the Marriott banner.
Travelers rely on accommodations that combine the comforts of home with the convenience of hotel service. Marriott’s partnership with Sonder, which began in August 2024, aimed to meet this demand by adding more than 9,000 units to its portfolio. However, financial challenges faced by Sonder, including significant losses and declining revenue, led to the untimely dissolution of this collaboration.
Impact on Guests
The termination of the agreement has resulted in immediate challenges for guests who were staying at Sonder properties or had upcoming reservations. Reports have surfaced of guests being asked to vacate their rooms on short notice, with belongings forcibly moved to hallways, compounding the distress for affected travelers. Marriott has expressed commitment to alleviating disruptions by reaching out to guests who booked through their channels.
Marriott’s Response
In response to this abrupt change, Marriott is actively working to support guests impacted by the situation. Their strategy includes contacting guests who made reservations directly with Marriott to arrange alternative accommodations where possible. Those who booked via third-party travel agencies are advised to reach out to those platforms for assistance, demonstrating the importance of effective communication in travel and hospitality.
Sonder’s Current Status
As the hospitality industry absorbs the shock waves from this development, Sonder, founded in 2014 and known for providing apartment-style and boutique accommodations in over 40 cities, is taking steps to wind down its operations. Plans for a Chapter 7 bankruptcy filing are underway, which will enable Sonder to liquidate its U.S. assets. This marks a significant chapter in a company’s journey that once appeared promising within the evolving landscape of hospitality.
Future Considerations for Marriott
While Marriott focuses on resolving the immediate impacts of the partnership termination, questions linger regarding the future of their apartment-style accommodation offerings. The hospitality industry in New York City continues to evolve, where innovation often leads the way in adapting to market needs. The decision to part ways with Sonder prompts a reevaluation of how Marriott might strategize its product offerings in the face of potential changes in consumer preferences.
Market Reaction
Following the termination announcement, Marriott’s stock (NASDAQ: MAR) has demonstrated slight resilience, trading at $291.90, up by 0.53% from the previous day’s close. However, fluctuations in stock performance reflect ongoing uncertainty as the company navigates its partnerships and overall operational strategies in the complex hospitality market.
As the fallout from this decision unfolds, Marriott’s prioritization of guest support is a reminder of the significance of customer service in the hospitality sector. The ability of companies to adapt and respond to unexpected challenges often determines their long-term success in an ever-competitive environment.
Frequently Asked Questions (FAQ)
What led to Marriott terminating its agreement with Sonder?
Marriott terminated its licensing agreement with Sonder due to a default by Sonder, leading to the removal of Sonder properties from Marriott’s booking channels.
How does this affect guests with existing reservations at Sonder properties?
Guests with existing reservations at Sonder properties booked through Marriott channels are being contacted by Marriott to address their reservation and booking needs. Those who booked through third-party online travel agencies should contact those organizations directly.
What is Sonder’s current operational status?
Sonder has begun winding down its operations and intends to file for Chapter 7 bankruptcy to liquidate its U.S. assets.
How is Marriott supporting affected guests?
Marriott’s immediate priority is to support guests currently staying at Sonder properties and those with upcoming reservations. The company is contacting guests who booked directly through Marriott channels to address their reservation and booking needs.
What should guests do if they have questions about their reservations?
Guests with questions about current or future reservations at Sonder properties booked through Marriott channels can contact Marriott customer service for assistance. Guests who booked through third-party online travel agencies should reach out to those organizations directly.
Key Features of the Situation
| Feature | Details |
|---|---|
| Termination Date | November 9, 2025 |
| Reason for Termination | Sonder’s default |
| Impact on Guests | Stranded guests, immediate vacate requests, and disrupted travel plans |
| Sonder’s Operational Status | Winding down operations, plans to file for Chapter 7 bankruptcy |
| Marriott’s Response | Contacting affected guests, providing support, and minimizing disruptions |
Now Happening on X
- @nypostbiz (November 12, 2025): Marriott guests were left ‘homeless’ after rental company Sonder abruptly shut down and its deal with the hotel was terminated, with complaints of poor treatment. View on X
- @nypost (November 12, 2025): Marriott guests are left ‘homeless’ as Sonder goes out of business suddenly, terminating its deal with the hotel and leaving travelers scrambling after poor treatment. View on X
- @chapatravel (November 10, 2025): The New York Times reports Sonder has abruptly gone out of business following Marriott’s termination of their licensing deal. View on X
- @xlaurenlacey (November 10, 2025): Marriott has cut ties with Sonder, leading to layoffs and requiring guests with reservations to vacate by 9AM tomorrow, highlighting the sinking economy’s unpredictability. View on X
- @pitdesi (November 10, 2025): Marriott is terminating its relationship with Sonder, likely ending the company due to its WeWork-like exposure to high fixed costs and variable demand in the tough hospitality business. View on X
- @BoardingArea (November 9, 2025): Marriott has dropped Sonder after its default, with properties no longer bookable, marking the breakup of their partnership. View on X
- @pvpai_agent (November 11, 2025): On November 9, Marriott ended its licensing deal with Sonder for breach; Sonder is ceasing operations and filing for Chapter 7 liquidation, with guests told to check out or rebook, causing SOND stock to fall. View on X
- @HoneyGuwop (November 11, 2025): The Marriott-Sonder situation is chaotic, with long-stay guests given less than 24 hours to vacate and all Sonder employees laid off, many learning through upset guests. View on X
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Author: STAFF HERE NEW YORK WRITER
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