Over 100 IHG properties to be reflagged as Sonesta hotels
This post contains references to products from one or more of our advertisers. We may receive compensation when you click on links to those products. Terms apply to the offers listed on this page. For an explanation of our Advertising Policy, visit this page.
A payment dispute between InterContinental Hotels Group and an investment company that owns more than 100 hotels under the IHG brand has led to a dissolution of the management and branding relationship between the two entities.
As a result, 103 hotels that currently fall under the IHG family of brands will be reflagged as Sonesta properties in the coming weeks.
According to Travel Weekly, Service Properties Trust (SVC) says that IHG did not pay over $8 million in guaranteed returns to the company’s 103 owned properties in July and that it missed another $17+ million that came due Aug. 1.
The current relationship is set to expire in November of this year with all 103 properties transitioning to the Royal Sonesta, Sonesta and Sonesta ES Suites brands on or around Nov. 30.
The 100+ properties being reflagged include dozens of extended-stay and full-service hotels across six brands in the U.S., including three InterContinentals, three Holiday Inns, five Kimptons, 11 Crowne Plazas, 20 Staybridge Suites and 61 Candlewood Suites.
Notably, hotels such as the InterContinental San Juan and Kimpton hotels in Washington, D.C., Chicago, Portland and Seattle will leave IHG, eliminating some high-end options for those with IHG points to burn.
Once these hotels fall under the Sonesta family, it will increase the chain’s footprint significantly in North America, bringing it to 160 properties total in the United States.
In a press release from SVC, John Murray, President and Chief Executive Officer of SVC, noted that Sonesta currently manages 16 properties that were reflagged from IHG in 2012, and they’ve seen increases in both total annual revenue and EBITDA after their conversion. The chain believes these new-to-the-family hotels will see similar results once individual markets and the travel industry at large stabilize in the coming months and years.
Featured image courtesy of the InterContinental San Juan
Welcome to The Points Guy!
Earn 90,000 bonus miles and 10,000 Medallion® Qualification Miles (MQMs) after you spend $3,000 in purchases on your new card in the first three months of card membership. Offer ends 11/10/2021.
With Status Boost™, earn 10,000 Medallion Qualification Miles (MQMs) after you spend $25,000 in purchases on your Card in a calendar year, up to two times per year getting you closer to Medallion Status. Earn 3X Miles on Delta purchases and purchases made directly with hotels, 2X Miles at restaurants and at U.S. supermarkets and earn 1X Mile on all other eligible purchases. Terms Apply.
- Limited Time Offer: Earn 90,000 Bonus Miles and 10,000 Medallion® Qualification Miles (MQMs) after you spend $3,000 in purchases on your new Card in your first 3 months. Offer expires 11/10/2021.
- Earn up to 20,000 Medallion® Qualification Miles (MQMs) with Status Boost® per year. After you spend $25,000 in purchases on your Card in a calendar year, you can earn 10,000 MQMs two times per year, getting you closer to Medallion® Status. MQMs are used to determine Medallion® Status and are different than miles you earn toward flights.
- Earn 3X Miles on Delta purchases and purchases made directly with hotels.
- Earn 2X Miles at restaurants worldwide, including takeout and delivery and at U.S. supermarkets.
- Earn 1X Miles on all other eligible purchases.
- Receive a Domestic Main Cabin round-trip companion certificate each year upon renewal of your Card. *Payment of the government imposed taxes and fees of no more than $75 for roundtrip domestic flights (for itineraries with up to four flight segments) is required. Baggage charges and other restrictions apply. See terms and conditions for details.
- Enjoy your first checked bag free on Delta flights.
- Fee Credit for Global Entry or TSA Pre✓®.
- Enjoy an exclusive rate of $39 per person per visit to enter the Delta Sky Club® for you and up to two guests when traveling on a Delta flight.
- No Foreign Transaction Fees.
- $250 Annual Fee.
- Terms Apply.
- See Rates & Fees