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hicago-based R2 is facing a potential eviction lawsuit against tech firm Azumo, which has accumulated over $161,000 in unpaid rent at its Goose Island office building. According to court records, Azumo failed to make its $17,000 monthly payments for several months and was notified of the late fees in August. Although some of the debt has been paid down since then, R2 is seeking eviction due to the outstanding balance.

    Azumo, which also operates an office in Shenzhen, China, specializes in energy-efficient display screens that reduce glare in various lighting conditions. The company chose Chicago as its US headquarters when it signed a 20,000-square-foot lease with R2 in late 2022.

    R2's efforts to invest in the Chicago office market are being put to the test by the pending eviction. Despite the city's high vacancy rate, the company has been actively seeking opportunities, including purchasing 150 North Michigan Avenue at a significant discount earlier this year. However, a recent loan sale tied to a West Loop office portfolio owned by R2 and Heitman may indicate trouble for some of its properties.

    In a similar transaction, Beltway Capital Management bought a loan note tied to a River North loft office building owned by Feil Organization and later tapped R2 as an investment partner in the property. The partnership will see R2 invest capital in a turnaround effort, although the exact amount is not disclosed.