Sonder Canada

Sonder Canada Inc. (later renamed Hospitalité/Hospitality Sonder Canada) was the Canadian entity of Sonder, an alternative-lodging company that leased and furnished apartments and boutique hotel rooms and rented them out for short stays with hotel-style standards. Units offered standardized mattresses, stocked toiletries and full sets of dishes and cutlery, plus round-the-clock concierge service and regular cleaning, and were distributed through Sonder's own website, Airbnb and other online channels. Accounts of the founding date vary across sources: reporting cites the business being started around 2012 in Montréal under the name Flatbook by Martin Picard, Francis Davidson and Lucas Pellan, while another account describes a 2014 launch.

The company moved its main operations and headquarters to San Francisco in 2016 and incorporated in the United States, which reporting notes allowed it to avoid being treated as a foreign company in the U.S. tax system, though it remained technically Canadian for a period. It went public on the Nasdaq (ticker SOND) in early 2022 through a special purpose acquisition company at a valuation of roughly US$1.9-billion, having been valued at US$2.2-billion in 2021. At its peak the company operated more than 9,000 rental properties across 10 countries and more than 35 cities, including large clusters of units in Toronto, Vancouver and Montréal.

Sonder never reached profitability. It reported 2023 revenue of $602-million with a $295.7-million net loss and 2024 revenue of $621.3-million with a $244-million net loss, ending 2024 with $20.8-million in cash. After Marriott International terminated its licensing agreement on 9 November 2025 citing default, Sonder wound down operations on 10 November 2025 and filed for Chapter 7 liquidation on 13 November 2025, with the Canadian entities filing separately under the Bankruptcy and Insolvency Act. In July 2026 the Sonder name, trademarks and domains — but no properties, leases, inventory or staff — were sold to Canadian AI travel company TravelAI (UpNext Ventures Inc.).

Founding story

Francis Davidson, a native of Gatineau, Québec, began the business after his freshman year at McGill University, where he studied economics and philosophy. He rented out his own Montréal apartment to travellers, valeting cars and offering guests wine; the following year he managed vacant apartments for other students who had left for the summer. After reaching $1-million in revenue he dropped out of school. Sonder went through the FounderFuel accelerator in Montréal. Reporting identifies co-founders Martin Picard and Lucas Pellan alongside Davidson, with the company originally named Flatbook.

Business model

Sonder leased and renovated apartment buildings and boutique hotel properties from real estate owners, then re-rented the units as short-term, hotel-quality accommodation managed largely through its own technology platform, with concierge and cleaning services included.

Revenue came from short-term stay bookings on units the company leased, sold through its own website and third-party channels including Airbnb and, from 2024, Marriott's website and Bonvoy loyalty program, on which Sonder paid royalties to Marriott.

Traction

Reported US$100-million annualized revenue with 2,200 apartments in 14 cities and more than 200,000 cumulative guests in August 2018; over 5,000 units, 35 cities and about 825,000 guests hosted as of December 2020; over 9,000 rental properties in 10 countries as of 2024, with full-year 2024 revenue of $621.3-million.

Latest developments

Following the November 2025 wind-down and bankruptcy filings, TravelAI (UpNext Ventures Inc.) acquired the Sonder brand, trademarks and domains from the court-appointed Trustee of the Canadian bankruptcy estates in a deal that closed 6 July 2026, excluding properties, leases, inventory and staff. TravelAI relaunched Sonder.com in August 2026 as an AI-driven curation site that recommends urban stays and refers users to Vrbo, Expedia and Booking.com for commissions, targeting $100-million in bookings in its first year.