MG Developer's Torrealba Sued Four Times Over Coral Gables Debt

Alirio Torrealba’s Coral Gables-based MG Developer has been hit with four lawsuits alleging defaults on more than $3.4 million in preferred equity and loans, all tied to entities linked to investor Antonio Zeiter.

Why it matters

MFD International LLC and Yosse LLC, the plaintiffs behind the suits, are described as long-time MG investors and partners rather than outside lenders, meaning the dispute pits Torrealba against people who helped capitalize his own deals. For a firm whose pipeline runs from Hialeah to North Bay Village, a public break with insiders raises the stakes for every project still leaning on that same capital base. MG conceded in a statement that it has experienced “disruptions in recent months, including with liquidity,” while saying it takes its obligations to the plaintiffs seriously. Read more from our South Florida market coverage.

The numbers

MFD International and Yosse claim a $2.2 million preferred-equity default plus additional loans, for combined claims exceeding $3.4 million. That includes a $1.5 million balance on two loans tied to the 176-key Regency Miami Airport by Sonesta hotel, another $517,000 in hotel-related loans, and $1.4 million across two loans connected to a Coral Gables project. MFD separately says its $1.4 million investment into 3600 Ponce LLC, tied to a Coral Gables residential property, went unpaid, though MG says it has since sold its interest in that entity to Zeiter.

What’s next

The four cases now work through Miami-Dade courts as MG Developer continues building out a pipeline that includes Metro Parc South in Hialeah and a planned condo tower in North Bay Village with partner Prosper Group. Whether the litigation slows financing on those active projects, or gets resolved quietly between longtime partners, will be the next signal for a developer whose growth has depended heavily on investor capital rather than institutional debt.