The aparthotel management landscape shifted overnight when Sonder filed Chapter 7 bankruptcy in November 2025. Property owners who relied on their master-lease model suddenly had vacant units and zero transition support. The smartest hybrid hotel rental operators learned from that disaster and built revenue-share models that actually align with your property performance, eliminating the structural risk that bankrupted Sonder while delivering the institutional-grade operations your portfolio demands.
TLDR:
- Revenue-share models align operator incentives with property performance, avoiding Sonder’s fatal fixed-lease structure.
- Sonder’s bankruptcy left aparthotel owners with terminated leases and vacant units needing immediate repositioning.
- Full-service management requires dynamic pricing, design optimization, and 24/7 operations in one partner.
- Multi-channel distribution across 50+ platforms reduces dependency risk that collapsed Sonder’s Marriott-focused model.
- AvantStay manages 2,300+ luxury properties with $5B AUM using tech-enabled operations and transparent owner portals.
What Is Sonder and How Does It Work?
Sonder operated as a tech-enabled aparthotel company that leased residential units and hotel spaces in urban markets, then re-rented them to travelers through digital booking channels. The company’s core model revolved around signing master leases with property owners, where Sonder took on the responsibility of furnishing, managing, and marketing the units while paying fixed rent to landlords regardless of occupancy.
The operational approach centered on standardization and tech integration. Sonder equipped properties with keyless entry systems, installed consistent furnishings across units, and provided guests with an app for check-in, support requests, and service coordination. This created a middle ground between traditional hotels and peer-to-peer rental marketplaces, offering travelers hotel-like consistency without front desk operations.
For property owners and managers, the Sonder model meant handing over long-term lease commitments to a single operator who managed all guest interactions, maintenance, and revenue operations. The company absorbed vacancy risk and operational overhead in exchange for lease control and the ability to set nightly rates above the fixed monthly rent paid to landlords.
Sonder wound down operations in November 2025 and entered Chapter 7 bankruptcy liquidation, leaving property owners and partners searching for alternative operators who could fill the aparthotel management gap.
Why Consider Sonder Alternatives?
Sonder’s abrupt shutdown in November 2025 left property owners and managers with terminated leases, disrupted cash flow, and vacant units requiring immediate repositioning. The company’s collapse wasn’t just a market exit but a complete operational halt through Chapter 7 liquidation, meaning no transition period or partnership continuity for the thousands of units in its portfolio.
The financial warning signs were severe. Sonder’s stock price plummeted from $200 to under $1 as the company struggled with prolonged system integration challenges tied to its Marriott partnership. These tech integration failures drained capital while simultaneously limiting distribution effectiveness, creating a cash crunch the company couldn’t survive.
For property owners evaluating alternatives, Sonder’s failure exposes critical structural risks in the aparthotel management space. Master-lease models create fixed rent obligations that operators must pay regardless of occupancy or market conditions. When demand softens or operational costs exceed projections, these rigid commitments become unsustainable liabilities.
The collapse underscores what property owners should prioritize in replacement partners: diversified distribution channels that don’t rely on a single booking platform, revenue-share arrangements that align incentives between owner and operator, and demonstrated financial reserves to weather market volatility. You need management partners with balance sheet strength and operational models that share risk rather than concentrating it on one party.
Best Sonder Alternatives in December 2025
AvantStay: Best Overall Alternative
We operate a tech-enabled portfolio of over 2,300 luxury properties using a revenue-share model that aligns our success directly with yours. Instead of Sonder’s failed master-lease approach, we earn only when your property performs, eliminating the structural risk that collapsed their business.
Our full-service management includes dynamic pricing across 75+ seasonal adjustments annually, award-winning interior design optimization, and institutional-grade operations. You get multi-channel distribution through 50+ OTAs plus exclusive premium partnerships with Marriott Homes & Villas and Capital One Premier Collection that Sonder could never stabilize.
The Lighthouse owner portal delivers real-time transparency on revenue, occupancy, and maintenance. Our 24/7 guest support includes concierge services and smart-home monitoring for risk management. We handle everything from permit coordination to neighbor relations with local field teams backed by national resources.
We’re the strongest Sonder replacement because we combine the operational sophistication aparthotel owners expect with a financially sustainable model built for luxury homes in leisure markets.
Vacasa
Vacasa manages approximately 40,000 properties across North America following its 2025 Casago merger. They offer full-service operations with local teams, centralized pricing tech, and distribution across major OTAs, including Airbnb, Vrbo, and Booking.com.
Their strength is geographic coverage and complete hands-off management for mid-market vacation rentals. However, massive scale means less personalized attention per property. Service quality fluctuates by market, and they lack the design expertise and luxury positioning that aparthotel properties require. Management fees typically run higher than ours for comparable service levels.
Evolve
Evolve runs a hybrid half-service model, charging around 10% of booking revenue. They handle marketing, pricing, and guest communication while you manage cleaning, maintenance, and on-site operations yourself.
This works for hands-on owners living near their properties who want marketing support while retaining operational control. But Evolve cannot provide the full-service, single-point accountability that aparthotel buildings need. You’re still coordinating vendors and handling operational issues directly.
onefinestay
Now part of Accor, onefinestay operates ultra-luxury rentals with white-glove concierge services in major global cities. They’re extremely selective, focusing on distinctive, high-character properties rather than scalable aparthotel operations.
Their prestige positioning serves owner-occupied second homes beautifully but lacks operational scalability for building owners with multiple standardized units. Limited U.S. coverage outside gateway cities makes them unsuitable for most aparthotel portfolios.
Top Villas
Top Villas distributes over 18,000 luxury homes across 150+ destinations with a strong Florida presence. They excel at marketing and guest acquisition through dedicated travel planners and concierge services.
However, they’re primarily a distribution layer, not a full operator. On-ground operations typically fall to local third-party managers or owners, creating fragmented accountability that cannot replace the integrated operations aparthotel buildings require.
Feature Comparison: Sonder vs Top Alternatives
The table below compares critical operational features across Sonder and leading alternatives, helping you evaluate which management partner best fits your aparthotel or rental property portfolio.
The most critical differentiator is business model structure. Sonder’s master-lease approach created fixed rent obligations that became fatal when occupancy declined. Revenue-share models align operator incentives with your property performance, sharing both upside and downside risk.
Why AvantStay Is the Best Sonder Alternative
We designed our business to avoid the structural flaws that led to Sonder’s bankruptcy and Marriott deal collapse. Our revenue-share model means we only succeed when your property performs, aligning our financial incentives completely with yours rather than locking you into fixed-obligation leases that concentrate risk.
The aparthotel management sector demands operators who can deliver both tech sophistication and operational excellence. We provide both through our Lighthouse portal, offering real-time revenue tracking, occupancy analytics, and maintenance visibility that aparthotel owners require for portfolio oversight. Our dynamic pricing analyzes over 75 seasonal factors to optimize rates, while our award-winning design team maximizes property appeal and ADR potential.
What separates us from half-service providers is complete operational ownership. We handle guest communication, cleaning coordination, maintenance dispatch, and 24/7 support through our Butler concierge app. You get the integrated property management system that aparthotels need without operational fragmentation.
Our multi-channel distribution spans 50+ booking platforms, including exclusive partnerships with Marriott Homes & Villas and Capital One Premier Collection. With $5 billion in assets under management across 2,300+ properties, we have the financial stability and operational track record that former Sonder partners should demand.
Final Thoughts on Selecting Your Next Aparthotel Operator
The right aparthotel management partner combines operational excellence with a business model that aligns your success with theirs. Sonder alternatives like ours eliminate fixed-rent obligations in favor of revenue-share arrangements that distribute risk appropriately between owner and operator. Your portfolio deserves a partner with multi-channel distribution, award-winning design capabilities, and the financial stability to weather market shifts. Connect with our property partnerships team to see how we can optimize your aparthotel units.
FAQ
Why did Sonder fail, and what should you learn from it?
Sonder collapsed due to its master-lease model that created fixed rent obligations regardless of occupancy, combined with the failed Marriott system integration that drained capital. Property owners should prioritize revenue-share partnerships that align incentives and operators with diversified distribution channels plus proven financial reserves.
When should you consider switching from your current aparthotel operator?
If your operator uses a master-lease model that concentrates vacancy risk on them rather than sharing it with you, or if they rely heavily on a single booking channel without diversified distribution. Also consider switching if you lack real-time transparency into revenue, occupancy, and maintenance performance.
What features matter most when evaluating Sonder replacement partners?
Prioritize revenue-share models over fixed-lease arrangements, multi-channel distribution across 50+ platforms, including premium partnerships, full-service operations with local field teams, real-time owner portals for transparency, and demonstrated financial stability with substantial assets under management.
How does a revenue-share model protect property owners better than master leases?
Revenue-share arrangements align your operator’s success directly with your property performance, sharing both upside potential and downside risk. Unlike master leases, where operators pay fixed rent regardless of market conditions, revenue-share partners only earn when your property generates bookings, eliminating the structural risk that bankrupted Sonder.
Can aparthotel properties transition quickly to new management after operator failure?
Yes, but speed depends on having a full-service operator ready to assume all functions, including guest communication, cleaning coordination, maintenance dispatch, and 24/7 support. Half-service providers that leave operations to you create gaps, while integrated operators can take over immediately with minimal disruption to cash flow.
