Company behind two city hotels files for Chapter 11 bankruptcy

As the rising costs of operations continue to squeeze cash flow even with strong visitor numbers, a number of small and mid-size hotel and short-term rental platform operators have filed for bankruptcy in the last six months. In September 2025, the company behind hotels such as The Tuscany and Hotel 27 abruptly shut down, leaving many guests, who had come to New York City from all over the world, without accommodation. The shutdown followed short-term rental platform Sonder filing for Chapter 7 liquidatio ...