R2 Cos. Recapitalizes Iconic River West Loft-Office

The Property is located on the border of the predominantly residential River West neighborhood and Goose Island, where R2 owns and operates 500,000 square feet of buildings and 12+ acres of land. The Property is adjacent to the 600 West Chicago building, which houses the headquarters for GROUPON. Across the street from the Property, the Tribune Media Company has announced the development of a 7-acre, mixed-use riverfront development.

"It took almost 100 years for the property to reach a valuation of 11 Million dollars," said Matt Garrison, Managing Principal of R2. "Since 2013, we have seen that number more than double. It was time to realize that gain for the existing partnership, including our partner T2 Capital Management. We are very pleased to have generated significant returns for this partnership. We are also excited to invest with York Capital with a long term view, and believe the value and location fundamentals for the asset remain incredibly strong."

R2 acquired the Property in January 2013 for $10,750,000 and has completed $4,000,000 of improvements and leasing to reposition the building amid a loft-office boom across the Chicago CBD. R2 has been an active investor in the area, having acquired over a dozen buildings in Chicago's Loft Office submarkets, including River North, Fulton Market, Goose Island, River West and the Halsted Triangle.

"Fundamentally our goal is to buy value. When we buy value and location, we position an investment for good things to happen. This has been and will continue to be our investment thesis with 770 and across our portfolio."

About R2 Companies
R2 Companies ("R2") is a privately held, fully integrated real estate investment firm based in Chicago, Illinois. R2 is an opportunistic firm that invests its own capital alongside a select group of institutional partners, making it an active and highly vested manager and operator. R2 currently owns and operates more than 3.0 million square feet of commercial real estate in Chicago, Minneapolis and Milwaukee and has a multi-year track record of realizing superior risk-adjusted returns utilizing various investment strategies across market cycles. The R2 platform is designed to be nimble, able to quickly and deftly shift strategies and allocations in response to changing market conditions. For more information, please visit www.R2.me.

York Capital Management
York Capital Management was founded in September 1991 with the goal of generating consistent, risk adjusted returns across business and market cycles. Since inception, the Firm has sought to achieve this goal through a combination of focused research and investment selection, coupled with disciplined risk management. York is located primarily in New York, London, and Hong Kong. York leverages its global research platform to employ a multi-strategy, event-driven investment approach emphasizing the fundamental analysis of industries and businesses.

T2 Capital Management
T2 is an opportunistic, privately held real estate investment firm based in Chicago. Since its founding in 2011, T2 has deployed approximately $300 million across the entire capital stack and among virtually all property types. The firm has created a niche in swiftly executing investments of $1 – 10 million on properties that are predominantly located within the Midwestern United States. As the manager of multiple discretionary funds, T2 is actively pursuing unique, value-add opportunities as lender as well as owner.

For additional information please contact +1 312 226 9737 or e-mail [email protected]

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SOURCE R2 Companies

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http://www.R2.me