 LCP and Elysian at first contested the filing, saying that they had not defaulted, but later a sale was approved.LCP-Elysian conveyed the trust deed, with which it had originally collateralized the loan, to Jerome Ventures, a wholly owned subsidiary of its creditor, in exchange for the forgiveness of the remaining debt in 2009.The new owner applied to the city for an exemption from the real estate transfer tax it charges, on the grounds that it had acquired the property through foreclosure proceedings.