A distinctive apartment tower subject to a past lawsuit accusing a developer of falsifying loan documents is now heading to foreclosure.

Lument, a subsidiary of Orix USA, filed notice on March 11 that foreclosure proceedings have been initiated on a $23.2M refinancing loan given in 2024 to the owners of The Peach apartment building at 1655 Peachtree St.

The loan had been set to mature on March 1, 2029, according to documents filed with the Georgia Superior Court Clerks' Cooperative Authority database.

The 68-unit tower, best known for the peach sculpture atop it, overlooks the Downtown Connector at the edge of Midtown and Buckhead.

Lument was also the loan servicer on the original Fannie Mae loan, totaling $17.5M, which had been taken out by LLC owner Peach Hospitality of Georgia. Developer Samuel Lloyd signed for the loan on behalf of Peach Hospitality.

The property has been subject to a contentious lawsuit.

In December 2024, Lloyd and his company, Springer Equities, were accused of executing a refinance on the original loan without notifying the development’s investors, PCH Street Investors, Bisnow previously reported.

PCH Street, a group of some 450 investors who collectively ponied up $6.9M for the development, also accused Lloyd of inventing false apartment leases to pump up the property’s net operating income to obtain the refinancing. In September 2025, the investment group filed to dismiss the lawsuit.

Weinberg, Wheeler, Hudgins, Gunn & Dial partner William Buhay, who represents Lloyd, declined to comment on the circumstances that led Lument to pursue foreclosure on the $23.2M loan three years before that loan’s maturity date.

“We hope to work it out, but that’s about all I can say,” Buhay said.

Lument Senior Director Mike Ratliff said the company could not comment on anything involving the property “due to ongoing legal proceedings.”

The Peach was originally constructed as an office building in the 1960s, but it sat empty for decades before Peach Hospitality bought it in 2016 for $8.5M.