I am not a current UB ls, but I will be going in '07. So, I thought I'd share perspective and research.
First, people will joke and tell you how horrible Buffalo is. The reality is that the winters are not as bad as people say and there is a TON of stuff to do. It is a good city, has a great nightlife and excellent food. Plus, the cost of living cannot be beat. (I grew up in Buffalo and have also moved around the US to larger cities - so I have a broad perspective.)
So, the ls stuff. It has a good ranking and is a T2 school. Because people do tend to move from Buffalo to bigger cities, there are also some decent opportunities in the Northeast to practice in more metropolitan areas (NYC, Boston, DC, etc.) The school has a healthy competitive but collaborative environment. I visited the school last spring and was impressed by the professors and how positive the students were about the school. Once I visited the school, I knew it was the one for me. I would highly recommend visiting if you can.
Lastly, for NYS residents (or even outside of NY) you cannot beat the price of the school. Not only can you find an apartment for about $400/month (and I'm talking a nice apartment in a great area) you can go to school for three years for the cost of what it might be for one year at another school. Hope this helps.