Sonder’s sudden implosion this week is spilling over into the New York actual property world.
The Moinian household, among the many metropolis’s most outstanding landlords, sued the collapsed hospitality agency for no less than $10 million in damages and is shifting to retake management of two Manhattan properties leased to Sonder which have descended into turmoil because the firm’s shutdown, Crain’s reported.
The lawsuit, filed Tuesday in state Supreme Courtroom in Manhattan, claims that visitors on the Moinians’ buildings — 2 Washington Road within the Monetary District and 37 West twenty fourth Road in NoMad — have both refused to vacate their rooms or been locked out and unable to retrieve their belongings after Sonder shuttered operations Monday afternoon.
The household accuses Sonder of abandoning the websites and leaving them to cope with the fallout because the San Francisco-based firm heads towards chapter.
On the middle of the Moinians’ declare are two Sonder-run properties totaling about 400 models. Joseph Moinian’s group leased 14 flooring at 2 Washington below a 10-year deal signed in 2020 for roughly $1.3 million a month, in keeping with filings, whereas his brother Morris of Fortuna Realty Group owns the 120-room property at 37 West twenty fourth, previously the Resort Henri. Each landlords say they’ve been left with unpaid lease as Sonder unraveled.
Sonder, as soon as touted as a substitute for Airbnb, collapsed after Marriott Worldwide terminated a key partnership, citing a default below a 2024 licensing deal. Interim CEO Janice Sears mentioned the agency was “devastated” to liquidate after pricey integration delays with Marriott’s programs and a steep income slide.
The fallout extends past the Moinians. Sonder operated roughly 10 Manhattan places, together with buildings owned by Silverstein Properties, BLDG Administration and the Chehebar household, all left grappling with stranded visitors and unsure lease obligations.
For landlords, Sonder’s collapse underscores the dangers of the master-lease mannequin that fueled its development through the short-term rental growth. The corporate’s Chapter 7 submitting might take months, leaving high-profile house owners caught in limbo over how — and when — they will reclaim their property.
Neither the Moinians’ legal professional nor a household spokesperson commented to the publication by press time. Sonder didn’t reply to requests for remark.
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