LuxUrban Hotels is facing liquidation, capping off its failed bid to build a boutique empire in New York.
The short-term hotel operator’s Chapter 11 case was converted to Chapter 7 last week after federal officials accused company leadership of “gross negligence” and mismanagement, according to Bisnow.
The move hands control of the firm to an independent trustee, marking a rare and rapid collapse for a company that once claimed it could compete with hospitality heavyweights like Marriott and Hilton.
LuxUrban filed for bankruptcy last month after abruptly shuttering its leased hotels, including The Herald and The Tuscany in Manhattan, while still accepting online reservations and payments. Guests reportedly showed up to locked…