I would be fairly upset if this had occurred to me. Any vacation requires a great deal of expense, arranging flights, taking time of work etc.
Question for the OP - did you ask the hotel to release your reservation or just checkout and then try to deal with the aftermath afterwards? I would imagine that a property (if necessary, with persuasion by SPG Corporate) would release a reservation (refund the points, prepaid rate etc.) under these circumstances, but it's best to negotiate this beforehand.