A New Era of Accountability in Corporate Housing

By Ken Brown, Vice President of Global Solutions

The recent closure of Sonder has sent a ripple through the corporate housing and temporary accommodations industry.

Not because it was unexpected, but because it marks the end of an era defined by aggressive venture-backed expansion without a needed foundation of operational stability.

Sonder raised an astonishing $680 million over its history. Yet, despite its scale and name recognition, it never achieved profitability. Instead, the company pursued growth at all costs, fueled by a flow of capital that prioritized speed and valuations over the fundamentals that actually matter in our space: sustainable operations, guest experience, and long-term trust.

This is not an isolated case. In the past several years, we’ve watched a number of venture-funded operators—Stay Alfred, Domio, and Frontdesk among them—enter the market with ambitious visions and significant financial backing, only to close their doors abruptly. In each instance, the consequences were immediate and deeply human. Guests found themselves without a place to stay, often mid-reservation and with little to no warning. Corporate clients were left scrambling to relocate employees on tight deadlines. And employees—the people behind the work—paid the price for decisions made far above their pay grade.

The pattern is clear. Temporary housing has never been a category capable of producing the exponential returns that venture capital chases. This industry is operationally complex, service-heavy, and margin-sensitive. It demands consistency, compliance, and a strong grasp of real estate fundamentals. When companies take on hundreds of millions of dollars in capital under the assumption that they can grow first and find profitability later, the math simply doesn’t work. Once the funding runs out and the focus shifts to sustainable operations, it’s already too late—leases have been secured at unrealistic rates, inventory has been acquired without understanding demand, and internal systems have not matured to meet the promises made externally.

Much of this capital was raised in the early 2020s, when interest rates were historically low and funding conditions rewarded scale over sense. But as the market corrected and investors demanded real profitability, the cracks widened. Sonder held on longer than many, but the outcome was the same. The industry is now emerging from this period with a clearer understanding of what works—and what never will.

This shift has also sparked a new era of due diligence from clients. More than ever, our partners are asking the right questions:

Who am I working with? Can I trust this provider to support my employees for the long haul? How stable is their business model? What systems and safeguards protect our data, our people, and our investment?

These are not just fair questions—they are essential ones. And we welcome them.

At Furnished Quarters, we have spent almost 30 years earning the trust of clients across the globe. As a privately owned, family-run business founded by real estate experts, we have grown intentionally and sustainably. We have never pursued growth at all costs, because our priority has always been long-term stability, exceptional service, and genuine relationships—not valuations.

We have weathered economic cycles, industry shifts, global disruptions, and technological transformation because we operate with discipline and clarity. We understand the markets we serve. We understand who our guests are. And we understand that reliability is the bedrock of our business.

Our clients are increasingly asking us to share more about who we are—our values, our governance, our data security protocols, our contingency plans, our partnerships, and our long-term vision. We invite these conversations. In fact, we encourage them. Vet us. Ask us the hard questions. We believe transparency creates stronger partnerships, and we want you to know exactly who is supporting your people across the world.

We are also applying this same rigor to the partners we choose globally. As a provider with an international footprint, we do not take shortcuts when selecting suppliers or operators. If we would not trust a company with our own employees, we will not place your employees there. Full stop.

And perhaps most importantly, this is what we will never do:

We will never put guests second.

We will never leave travelers stranded mid-stay.

We will never overextend ourselves for the sake of short-term growth.

We will never allow the lights to go out overnight.

Our industry is entering a new chapter—one defined not by speed, but by stewardship. Not by speculation, but by service. As others have risen and fallen on unsustainable strategies, we have remained focused, stable, and committed to delivering the level of care our clients expect and deserve.

Nearly three decades in, we know exactly who we are and how we will continue to grow: steadily, responsibly, and always with our clients and guests at the center.

The landscape may be changing, but one thing remains constant—Furnished Quarters is here for the long haul, and we look forward to proving that every single day.

About the Author

Ken Brown serves as the Vice President of Global Solutions at Furnished Quarters, bringing a wealth of experience in the corporate housing and global mobility sectors. He is responsible for expanding Furnished Quarters’ international presence and ensuring seamless housing solutions for clients worldwide.

With a strong background in client relations and strategic partnerships, Ken focuses on delivering tailored accommodation services that meet the unique needs of multinational corporations and their relocating employees. His expertise lies in navigating the complexities of global markets and fostering relationships with key partners to provide a comprehensive and high-quality housing experience.

Ken is dedicated to enhancing the guest journey by implementing innovative solutions and maintaining rigorous quality standards across all global properties. His leadership in this area ensures that Furnished Quarters remains a trusted partner for companies seeking reliable and comfortable long-term and short-term stays around the world.

Contact Ken to learn more about global corporate housing solutions at Furnished Quarters.