Sonder, the hotel chain founded in 2014 and that took over the Duane Street Hotel on Church Street in 2021, has ceased to exist. (Thanks to the note from A., who spotted the sign on the door.)

As of November 10, the company completed the “immediate wind-down of operations” and expects to initiate a Chapter 7 liquidation of its U.S. business, according to the press release on its website. The company also intends to initiate insolvency proceedings in the international countries in which it operates.

My first thought: the fate of Modern Bread & Bagel in its base… They were hoping to open in December.

Sonder entered a long-term licensing agreement with Marriott in August 2024, so Sonder could be booked on Marriott’s platform. But it seems that broke down somewhere along the line. Marriott terminated its license with the company on November 9.

From their release: “Sonder has faced severe financial constraints arising from, among other things, prolonged challenges in the integration of the Company’s systems and booking arrangements with Marriott International…The Company made comprehensive efforts to evaluate all financing and other strategic alternatives, including a sale of its business and operations, to improve its financial condition. As part of those efforts, the Company engaged numerous strategic and financial parties but ultimately was unable to execute a viable going concern transaction for its business and operations or obtain additional liquidity.”

“We are devastated to reach a point where a liquidation is the only viable path forward,” said Janice Sears, interim chief executive officer of Sonder. “The Board and I are deeply grateful to our employees for their longstanding dedication to putting the guest experience at the center of everything we do.”