Marriott has signed a long-term licensing agreement with Sonder which is expected to add over 9,000 rooms to Marriott’s portfolio by year-end and around 1,500 rooms to its pipeline over the next few years.
Under the agreement, Sonder’s open and pipeline portfolio - which primarily consists of apartment-style accommodations in urban markets - is expected to be added to the Marriott system under a new collection called Sonder by Marriott Bonvoy. As part of the deal, Marriott will receive a royalty fee based on a percentage of Sonder gross room revenues.
Marriott now expects full year 2024 net rooms growth of 6 to 6.5 percent. Full integration of Sonder properties with Marriott’s digital channels, including Marriott.com and the Marriott Bonvoy app, is expected in 2025.
What they said
Tim Grisius, global officer, M&A, business development and real estate at Marriott International said: “We are excited about the addition of Sonder’s portfolio to our system, which will expand our portfolio of longer-stay accommodations in key markets around the world. Marriott has long believed in providing the right product at the right price point for all trip purposes and generations of travellers. With the planned addition of Sonder by Marriott Bonvoy, we will be able to provide guests seeking apartment-style urban accommodations with even more options in the Marriott Bonvoy portfolio.”