Forgot to keep track of my own code. I was using a couple of buddypress functions in the theme. It worked fine on Twenty Eleven, so I had to re check my custom code and found out that I was using those functions. Removed them, and it’s working fine now.
I wouldn’t mind coding it myself, I just want to know what functions I should use to create groups. Then I could just use some conditionals / loops to create posts for each custom post type post. @mercime
I’ve had it previously set to 256M which I thought would be enough, I don’t understand why I would need more than that much memory. All the resources i’ve looked at for buddypress they all recommend about 128M.