Sonder Holdings Announces Bankruptcy Filing Amid Failed Partnership with Marriott

November 10, 2025 - 21:13

Short-term rental company Sonder Holdings has officially announced its decision to file for bankruptcy and liquidate its assets in the United States. The company attributes its financial struggles to a failed collaboration with the hospitality giant Marriott, which did not yield the expected results.

Sonder, known for its unique approach to short-term rentals by offering professionally managed apartments, faced increasing challenges in a competitive market. The partnership with Marriott was anticipated to enhance Sonder's visibility and operational capabilities, but it ultimately fell short of expectations, leading to significant operational setbacks.

As the company moves forward with the bankruptcy process, it aims to restructure its financial obligations and explore potential avenues for recovery. This development marks a significant shift in the short-term rental landscape, raising questions about the future of similar businesses in an evolving market. The announcement has sent ripples through the industry, prompting discussions on sustainability and profitability in the short-term rental sector.