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REGISTERED NUMBER: 06957206 (England and Wales)















Audited Financial Statements for the Year Ended 31 March 2023

for

Evenbrook Properties 2 Limited

Evenbrook Properties 2 Limited (Registered number: 06957206)






Contents of the Financial Statements
for the Year Ended 31 March 2023




Page

Company Information 1

Balance Sheet 2

Notes to the Financial Statements 3


Evenbrook Properties 2 Limited

Company Information
for the Year Ended 31 March 2023







DIRECTORS: C A Butterfield FCA
J E M Gulliford MRICS
J S Butterfield MRICS
M A Poole FCA



REGISTERED OFFICE: Brecon House
Browns Green
Birmingham
B20 1FE



REGISTERED NUMBER: 06957206 (England and Wales)



AUDITORS: CKCA Limited
No 4 Castle Court 2
Castlegate Way
Dudley
West Midlands
DY1 4RH



SOLICITORS: Freeths LLP
80 Mount Street
Nottingham
NG1 6GR

Evenbrook Properties 2 Limited (Registered number: 06957206)

Balance Sheet
31 March 2023

31.3.23 31.3.22
Notes £    £    £    £   
FIXED ASSETS
Tangible assets 4 - -
Investment property 5 2,908,058 2,790,500
2,908,058 2,790,500

CURRENT ASSETS
Debtors 6 1,580 -

CREDITORS
Amounts falling due within one year 7 1,027,234 1,033,054
NET CURRENT LIABILITIES (1,025,654 ) (1,033,054 )
TOTAL ASSETS LESS CURRENT
LIABILITIES

1,882,404

1,757,446

PROVISIONS FOR LIABILITIES 8 90,000 90,000
NET ASSETS 1,792,404 1,667,446

CAPITAL AND RESERVES
Called up share capital 1 1
Fair value reserve 9 805,161 805,161
Retained earnings 9 987,242 862,284
SHAREHOLDERS' FUNDS 1,792,404 1,667,446

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 14 June 2023 and were signed on its behalf by:




C A Butterfield FCA - Director



M A Poole FCA - Director


Evenbrook Properties 2 Limited (Registered number: 06957206)

Notes to the Financial Statements
for the Year Ended 31 March 2023

1. STATUTORY INFORMATION

Evenbrook Properties 2 Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2. ACCOUNTING POLICIES

Basis of preparing the financial statements
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets.

Going Concern
The financial statements have been prepared on the going concern basis. Current liabilities exceed current assets by £1,025,000. Current liabilities include an amount of £1,022,000 due to Evenbrook Limited, a fellow subsidiary company. This loan is interest free, repayable on demand and is long term funding for the company that enabled the company to purchase the investment properties that it owns. The company has a net asset value of £1,792,000 reported at the balance sheet date. The directors consider the possibility of Evenbrook Limited requiring repayment of the loan of £1,022,000 within 12 months from the date of approval of these financial statements to be remote and accordingly the directors of the company, the majority of whom are directors of all group companies within the group headed by Evenbrook Capital Partners Limited, which includes the company and its parent, are satisfied that these financial statements should be prepared on the going concern basis as they expect the company to continue in operational existence for the foreseeable future.

Related party exemption
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Evenbrook Properties 2 Limited (Registered number: 06957206)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2023

2. ACCOUNTING POLICIES - continued

Significant judgements and estimates
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for income and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. Management does not consider there to be judgements made on matters considered material (apart from those involving estimates) that have had an effect on amounts recognised in the financial statements this year.

The following are the company's key sources of estimation uncertainty:

Revaluation of investment properties
The company carries its investment properties at fair value, with changes in fair value being recognised in profit or loss. The directors, two of whom are Chartered Surveyors, review the carrying values of investment properties at each year end. The valuation of investment properties focuses on the estimated yield (expressed as the gross rent per annum passing at the year end date divided by the carrying value of the property) considered to be appropriate to the type and condition of the property in light of extant market conditions having regard also to its vacant possession value. The determined fair value of the investment property is most sensitive to the estimated yield. Further information on the determination of the fair value of investment properties is given in the notes to the financial statements.

Taxation
The company establishes provisions based on reasonable estimates and these are subject to the potential consequences of enquiries by the tax authorities. The amount of such provisions is based on various factors such as experience and the impact of potentially differing interpretations of tax legislation and practice regulations by the company and the tax authorities. Management estimation is required to determine the amount of deferred tax that should be recognised at any time having regard to fair value and other factors.

Turnover
Turnover represents rents receivable and related income.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off the cost less estimated residual value of each asset over its estimated useful life.

Depreciation is provided at the following rates in order to write off each asset over its estimated life.

Fixtures and fittings - 20% to 33% on cost


Investment property
Investment property is shown at most recent valuation. Any aggregate gain or loss arising from changes in fair value is recognised in the income statement. FRS 102 requires valuation at fair value unless fair value cannot be obtained without undue cost or effort. Deferred taxation is provided on these gains where applicable at the rate expected to apply when the property is sold.

Evenbrook Properties 2 Limited (Registered number: 06957206)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2023

2. ACCOUNTING POLICIES - continued

Financial instruments
Basic financial assets, which include trade and other receivables and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at present value of the future receipts discounted at a market rate of interest.

Basic financial liabilities, including trade and other payables, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest.

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. Group relief received or provided is recognised at 100% of relevant tax losses.

Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

3. EMPLOYEES AND DIRECTORS

The average number of employees during the year was NIL (2022 - NIL).

Evenbrook Properties 2 Limited (Registered number: 06957206)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2023

4. TANGIBLE FIXED ASSETS
Plant and
machinery
etc
£   
COST
At 1 April 2022
and 31 March 2023 6,226
DEPRECIATION
At 1 April 2022
and 31 March 2023 6,226
NET BOOK VALUE
At 31 March 2023 -

5. INVESTMENT PROPERTY
Total
£   
FAIR VALUE
At 1 April 2022 2,790,500
Additions 117,558
At 31 March 2023 2,908,058
NET BOOK VALUE
At 31 March 2023 2,908,058
At 31 March 2022 2,790,500

Fair value at 31 March 2023 is represented by:
£   
Valuation in 2023 895,161
Cost 2,012,897
2,908,058

Investment property was valued on an open market fair value basis on 31 March 2023 by the directors, two of whom are Chartered Surveyors based on a gross investment yield of c.7.5%. The Company has not instructed an agent to carry out an external professional valuation of the Company's investment properties at 31 March 2023. The directors have had regard to a routine valuation for security purposes carried out by the bank's independent valuers during May 2023.

Evenbrook Properties 2 Limited (Registered number: 06957206)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2023

6. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.3.23 31.3.22
£    £   
Trade debtors 1,430 -
Other debtors 150 -
1,580 -

7. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.3.23 31.3.22
£    £   
Trade creditors 3,542 2,317
Amounts owed to group undertakings 1,022,532 1,030,012
Other creditors 1,160 725
1,027,234 1,033,054

8. PROVISIONS FOR LIABILITIES
31.3.23 31.3.22
£    £   
Deferred tax 90,000 90,000

Deferred
tax
£   
Balance at 1 April 2022 90,000
Balance at 31 March 2023 90,000

9. RESERVES
Fair
Retained value
earnings reserve Totals
£    £    £   

At 1 April 2022 862,284 805,161 1,667,445
Profit for the year 124,958 - 124,958
At 31 March 2023 987,242 805,161 1,792,403

10. DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Wendy Davies (Senior Statutory Auditor)
for and on behalf of CKCA Limited

Evenbrook Properties 2 Limited (Registered number: 06957206)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2023

11. CONTINGENT LIABILITIES

The company has granted an unlimited company guarantee and a debenture over the company's assets as security to a lender to Evenbrook Limited in respect of borrowings of £19,150,000 at 31 March 2023 (2022; £19,150,000) and to Hamstead Campus Limited in respect of borrowings of £12,225,000 at 31 March 2023 (2022; £12,225,000).

12. ULTIMATE CONTROLLING PARTY

The controlling party is Evenbrook Group Limited.

The directors consider that there is no ultimate controlling party.