Timeline: MG Developer and the Coral Gables Creditor Lawsuits

Six lawsuits, four creditors, more than $14.2 million in combined claims against Alirio Torrealba’s Coral Gables-based MG Developer, all filed within roughly an eight-day window in late August. Every complaint below is a civil filing, and every figure comes from that filing. A complaint is an allegation, not a finding, and none of it has been proven in court.

Week of Aug. 17-21. MFD International LLC and Yosse LLC, entities tied to investor Antonio Zeiter, file the first suits in Miami-Dade court, alleging a $2.2 million preferred-equity default plus other loans, combined claims exceeding $3.4 million: $1.5 million on two loans tied to the 176-key Regency Miami Airport by Sonesta hotel, $517,000 in other hotel loans, and $1.4 million on two Coral Gables project loans. MFD separately alleges a $1.4 million investment in 3600 Ponce LLC went unpaid, though MG says it has since sold its interest in that entity to Zeiter.

Aug. 22. The American Developer first reports on the Zeiter-linked suits. MG Developer tells us it has experienced “disruptions in recent months, including with liquidity,” and says it takes its obligations to plaintiffs seriously.

Aug. 24. VFI Capital LLC, tied to the Galleria Farms founding family, sues in Miami-Dade Circuit Court for more than $6 million, split evenly between MG NBV, the sponsor’s North Bay Village condo project, and The George Partners, its 13-unit Coral Gables townhome development. VFI alleges Torrealba personally guaranteed both loans and that interest payments were missed in April, with the balance maturing unpaid in May.

Aug. 25. Bisnow reports the tally has reached six suits and names two more plaintiffs. OPB Capital Group Fund 1 LLC claims $2.6 million in unpaid preferred-equity installments tied to the Regency hotel, and alleges MG arranged an unauthorized $23 million refinancing on the property with Interaudi Bank. Area NBV and Area DRL, tied to Area Capital manager Leonard Kreimer, claim $2.2 million in preferred equity tied to MG NBV and a planned Doral apartment project, personally guaranteed by Torrealba and his brother, Diego.

Aug. 26. The American Developer publishes a second report confirming six suits filed between Aug. 17 and Aug. 24, and tallying the claims. No new creditor suit has surfaced since.

Why it matters

This is not one lender turning hostile, it is MG Developer’s entire preferred-equity and mezzanine capital base doing so at once, across four plaintiffs and every active corner of the pipeline. Several suits name Torrealba and Diego personally as guarantors rather than stopping at the LLCs, raising the stakes beyond any single project. For a sponsor that has leaned on investor capital instead of institutional debt, six suits in eight days signals that base pulling back mid-pipeline. Track updates on our MG Developer creditor lawsuits hub.

The numbers

Tallying every filing: $3.4 million-plus from the Zeiter entities, $6 million from VFI Capital, $2.6 million from OPB Capital Group Fund 1, and $2.2 million from Area Capital. That is more than $14.2 million across six suits and four plaintiffs, touching five named assets: the Regency hotel, 3600 Ponce, MG NBV, The George Partners and the Doral project. MG Developer’s own portfolio is valued above $1.5 billion, per Bisnow, a scale that makes the claims a fraction of the balance sheet but a direct hit on the capital layer the firm has relied on most.

What’s next

MG Developer says it is in direct talks with plaintiffs and takes its obligations seriously, but has disclosed no resolution on any of the six suits. Whether Torrealba can settle them without a forced sale, a partner buyout or a receivership is the clearest test yet of how much runway a sponsor this size has left once its own investors turn litigious. This page updates as each new filing lands.