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Scoop: Hotels back out of housing migrant families

At the last minute, four hotels in Texas and Arizona backed out of agreements to house around 600 migrant family members amid growing border-crossing numbers and swirling political debates over immigration, Axios has learned.

Why it matters: The nonprofit Endeavors has already secured new hotels to fulfill its $87 million contract with Immigration and Customs Enforcement. Still, the last-minute changes underscore the logistical and political hurdles to finding space for the increasing numbers of migrant families and children illegally crossing the U.S.-Mexico border.


  • Three hotels under the Endeavors contract started housing migrant families earlier this month. The accommodations are expected to hold roughly 600 migrants altogether.
  • A Woodspring Suites, a Hampton Inn by Hilton, a Microtel by Wyndham and a Best Western were slated to open up more space for migrant families starting April 30, but backed out and now the deadline has been pushed back, according to sources familiar with the situation.

The big picture: In addition to the $87 million contract with ICE, Endeavors also signed a contract with a Department of Health and Human Services agency to help house unaccompanied minors, which is worth up to $530 million, as Axios first reported.

  • The Texas nonprofit hired a Biden transition official shortly before the non-bid contracts were signed.

What they're saying: “The families that come into ICE custody will be housed in a manner consistent with legal requirements for the safety and well-being of children and their parents or guardians," an ICE spokesperson said in a statement when asked for comment.

  • The spokesperson added that families are generally in custody less than 72 hours for processing and settling on conditions for their release.
  • An Endeavors spokesperson did not respond to a request for comment.

This isn't the first time hotels have been caught in a political firestorm for holding migrants.

  • Just last year, the Trump administration used several hotels owned by Hilton, Marriott and Choice Hotels International for hundreds of unaccompanied minors before they were expelled back to their home countries under a coronavirus-related public health order, as the AP then reported.
  • Hilton released a statement following early reports in 2020 saying they "expect all Hilton properties to reject business" that would use a hotel for detention.

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Data: FactSet; Chart: Axios Visuals

A popular rebellion, organized by the powerless against the powerful. It might have failed in Washington, but it certainly seems to be working on Wall Street.

Driving the news: The market value of GameStop closed at more than $10 billion on Tuesday, on record volume of more than $26 billion.

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