I had a similar (but not identical experience). I had an SNA confirm in a small Paris hotel and then when I got there I got a message that sorry, there was no suite. Their offer was some hotel benefit (which I never ended up using) plus a guaranteed upgrade on my next stay. The next time they gave me the top suite in the hotel (probably not in the SNA pool), so it all kind of worked out.
Somehow in the SPG days (and I still miss William's presence in this forum) it seems that when these sorts of things happened (and yes they happened under SPG) there was an effort to find an equitable solution.