Acres Loan Origination LLC v. DMG Investments Affiliate (Auden Buffalo Student Housing Foreclosure)
Acres Loan Origination LLC, an affiliate of commercial mortgage lender Acres Capital, filed a foreclosure complaint in New York state Supreme Court against the Auden Buffalo student housing community at 2915-2949 N. Forest Road in Amherst, alleging that two construction loans totaling $32.5 million made in early 2021 to an affiliate of developer DMG Investments matured in January 2024 with the entire principal still unpaid. The filing came within days of a separate foreclosure action against another DMG affiliate, Air Buffalo, a 154-unit luxury apartment building roughly a mile away on Sweet Home Road, brought by a lender group represented by Deutsche Bank National Trust Co. over an approximately $18 million loan that likewise matured unpaid in January 2024.
Why it matters
Two unrelated lender groups moving against the same New York City-based sponsor's Buffalo-area portfolio within days of each other signals that a single developer's post-maturity refinancing gap can cascade across multiple, separately financed assets rather than staying contained to one property. For construction and bridge lenders on purpose-built student and multifamily housing near university markets, the matters underscore the value of monitoring a sponsor's full regional loan book — not just the collateral securing any one loan — once a maturity default surfaces on a related asset.
Read the full write-up and case timeline
The complete analysis of this matter, with its procedural history and practical takeaways.
Open the full matterGet an email when a matter like this is filed
Set up a free watchlist for lending & foreclosure matters in New York, or for the tenants, borrowers and guarantors in your portfolio.
Create a watchlistMore lending & foreclosure matters
Other matters in New York
CREdocket summarizes public court records and reporting; see our sourcing standards and corrections log. Not legal advice. Facing something similar? Contact us.