Sonder, one of Marriott’s flashiest brands, has filed for bankruptcy.
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It’s a high-profile headline in the travel world for a few reasons. First, Marriott acquired Sonder very recently in 2024. Second, the brand isn’t like other hospitality brands thanks to its unique, lux-adjacent apartment-style rentals. Third, Sonder was one of Marriott’s most accessible, luxury-appealing brands with mid-range-tilting prices.
As a travel writer, Sonder has been a brand that I’ve kept my eye on and planned to book—especially after Marriott acquired it last year.
Alas. Over the weekend, Sonder filed for bankruptcy, and Marriott immediately cut ties.
The move has left some travelers suddenly without a place to stay, and left many more with questions about the relationship between Sonder and Marriott. After just one year of partnership, what gave?
Inside the bankruptcy drama
The drama here is two-fold. First, the abrupt break between the brands left some travelers without a place to stay. You can find more than a few stories of guests who were asked to leave their rentals mid-stay. First-time guests to Marriott Bonvoy members alike were told to evacuate the properties immediately.
That hints at the second layer of drama: you know a relationship has soured when guests aren’t allowed to finish their stays. This type of move from a hospitality brand is unprecedented.
So, what happened?
Reports suggest that Marriott wasn’t aware how into the red Sonder had gone. Sonder’s default can’t be blamed on a single issue, but ongoing difficulties integrating tech from both companies have been cited. The move to Marriott’s booking platform created delays and difficulties that saw Sonder’s bookings plummet.
According to Sonder’s Q2 financial reports from 2025, the company lost 469% of its profits from the previous year. Ongoing losses led Marriott to immediately drop Sonder when it filed for bankruptcy.
However, it’s highly unlikely that the company’s plunging profits were a secret, begging the question of how unexpected the bankruptcy filing could be.
For now, official statements from Marriott indicate that the chain is helping travelers with Sonder rentals find other places to stay—as long as they booked directly. Guests who booked with third-party platforms are being told to contact the booking company.
