Hello @Kimberly Bautista ,
Thank you for reaching out to the Microsoft Q&A platform. Happy to answer your question.
As you may be aware that it is Not supported, resizing the underlying storage used by Storage Spaces Direct. If you are running Storage Spaces Direct in a virtualized storage environment, including in Azure, resizing or changing the characteristics of the storage devices used by the virtual machines isn't supported and will cause data to become inaccessible. Instead, follow the instructions in the Add servers or drives section to add additional capacity before expanding volumes.
Another good article i found online explaining the inefficient and optimal ways of extending S2D pool on azure extending-a-s2d-storage-spaces-direct-pool-on-azure-and-increase-your-iops
Please "Accept as Answer" and Upvote if any of the above helped to help others in the community looking for remediation for similar issues.