REGISTERED NUMBER: |
THE GREENWICH DEVELOPMENT CORPORATION |
LIMITED |
(LIMITED BY GUARANTEE) |
AUDITED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
REGISTERED NUMBER: |
THE GREENWICH DEVELOPMENT CORPORATION |
LIMITED |
(LIMITED BY GUARANTEE) |
AUDITED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
THE GREENWICH DEVELOPMENT CORPORATION |
LIMITED (REGISTERED NUMBER: 01553679) |
(LIMITED BY GUARANTEE) |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
Page |
Company Information | 1 |
Statement of Financial Position | 2 |
Notes to the Financial Statements | 4 |
THE GREENWICH DEVELOPMENT CORPORATION |
LIMITED |
(LIMITED BY GUARANTEE) |
COMPANY INFORMATION |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
DIRECTORS: |
SECRETARIES: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
SENIOR STATUTORY AUDITOR: |
AUDITORS: |
Statutory Auditors and Chartered Accountants |
Building 1063 |
Cornforth Drive |
Kent Science Park |
Sittingbourne |
Kent |
ME9 8PX |
THE GREENWICH DEVELOPMENT CORPORATION |
LIMITED (REGISTERED NUMBER: 01553679) |
(LIMITED BY GUARANTEE) |
STATEMENT OF FINANCIAL POSITION |
30 SEPTEMBER 2023 |
30.9.23 | 30.9.22 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 5 |
Investments | 6 |
Investment property | 7 |
CURRENT ASSETS |
Debtors | 8 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 9 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
10 |
( |
) |
( |
) |
PROVISIONS FOR LIABILITIES | ( |
) | ( |
) |
NET ASSETS |
RESERVES |
Revaluation reserve | 12 |
Fair value reserve | 12 |
Income and expenditure account | 12 |
THE GREENWICH DEVELOPMENT CORPORATION |
LIMITED (REGISTERED NUMBER: 01553679) |
(LIMITED BY GUARANTEE) |
STATEMENT OF FINANCIAL POSITION - continued |
30 SEPTEMBER 2023 |
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 |
THE GREENWICH DEVELOPMENT CORPORATION |
LIMITED (REGISTERED NUMBER: 01553679) |
(LIMITED BY GUARANTEE) |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
1. | STATUTORY INFORMATION |
The Greenwich Development Corporation Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | STATEMENT OF COMPLIANCE |
3. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Significant judgements and estimates |
In the application of the company's accounting policies, management is required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period to which the estimate is revised if the revision affects only that period or in the period of the revision and future periods if the revision affects both current and future periods. The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are the depreciation charges that are calculated with reference to the useful economic life of fixed assets, and the valuation of the investment properties, made by the directors after taking advice. |
Turnover |
Turnover represents net rents receivable and consultancy fees excluding value added tax. |
Tangible fixed assets |
Freehold property | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
From 1 October 2015 the directors agreed to re-estimate the useful economic life of freehold property to remain at 50 years as a best estimate and also re-estimate the residual value of the property at the end of its useful economic life. Given that the property is maintained and repaired fully and the fundamental structure is unlikely to deteriorate over the next 50 years the most reasonable conclusion is that it will remain as viable for commercial or residential use as it is now and there is no reason to believe that it will deviate from its current value of £1.7 million. As a result there is no annual depreciation charge. |
THE GREENWICH DEVELOPMENT CORPORATION |
LIMITED (REGISTERED NUMBER: 01553679) |
(LIMITED BY GUARANTEE) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
3. | ACCOUNTING POLICIES - continued |
Investments in subsidiaries |
Investments in subsidiary undertakings are recognised at cost. |
Investment property |
Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in surplus or deficit. |
THE GREENWICH DEVELOPMENT CORPORATION |
LIMITED (REGISTERED NUMBER: 01553679) |
(LIMITED BY GUARANTEE) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
3. | ACCOUNTING POLICIES - continued |
Financial instruments |
The company enters into basic financial instruments that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks and other third parties and loans to related parties. |
a) Trade and other debtors |
Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method, less impairment losses for bad and doubtful debts except where the effect of discounting would be immaterial. In such cases, the receivables are stated at cost less impairment losses for bad and doubtful debts. |
b) Cash and cash equivalents |
Cash and cash equivalents comprise cash at bank and in hand. |
c) Impairment of financial assets |
Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in profit or loss. |
For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract. |
For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and the best estimate, which is an approximation, of the amount that the company would receive for the asset if it were to be sold at the reporting date. |
d) Trade and other creditors |
Debt instruments like loans and other accounts payable are initially measured at present value of the future payments and subsequently at amortised cost using the effective interest method. Debt instruments that are payable within one year, typically trade payables, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid. However, if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate or in case of an outright short-term loan not at market rate, the financial asset is measured, initially and subsequently, at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. |
Financial assets and liabilities are offset and the net amount reported in the statement of financial position when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. |
Impairment of non-financial assets |
THE GREENWICH DEVELOPMENT CORPORATION |
LIMITED (REGISTERED NUMBER: 01553679) |
(LIMITED BY GUARANTEE) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
3. | ACCOUNTING POLICIES - continued |
At each reporting date non-financial assets not carried at fair value, like plant and equipment, are reviewed, to determine whether there is an indication that an asset may be impaired. If there is an indication of possible impairment, the recoverable amount of any asset or group of related assets, which is the higher of value in use and the fair value less cost to sell, is estimated and compared with its carrying amount. If the recoverable amount is lower, the carrying amount of the asset is reduced to its recoverable amount and an impairment loss is recognised immediately in profit and loss. |
Inventories are also assessed for impairment at each reporting date. Each item of inventory is compared to the last sold date and an impairment loss recognised on a percentage basis in profit and loss. |
If an impairment loss is subsequently reversed, the carrying amount of the asset or group of related assets is increased to the revised estimate of its recoverable amount, but not to exceed the amount that would have been determined had no impairment loss been recognised for the asset or group of related assets in prior periods. A reversal of an impairment loss is recognised immediately in profit and loss. |
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 statement of financial position date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position 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. |
Pension costs and other post-retirement benefits |
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
Investment income |
Investment income is recognised on an accruals basis. |
4. | EMPLOYEES AND DIRECTORS |
The average number of employees during the year was |
THE GREENWICH DEVELOPMENT CORPORATION |
LIMITED (REGISTERED NUMBER: 01553679) |
(LIMITED BY GUARANTEE) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
5. | TANGIBLE FIXED ASSETS |
Fixtures |
Freehold | Plant and | and | Motor |
property | machinery | fittings | vehicles | Totals |
£ | £ | £ | £ | £ |
COST OR VALUATION |
At 1 October 2022 |
and 30 September 2023 |
DEPRECIATION |
At 1 October 2022 |
Charge for year |
At 30 September 2023 |
NET BOOK VALUE |
At 30 September 2023 |
At 30 September 2022 |
Included in cost or valuation of land and buildings is freehold land of £ 50,000 (2022 - £ 50,000 ) which is not depreciated. |
Cost or valuation at 30 September 2023 is represented by: |
Fixtures |
Freehold | Plant and | and | Motor |
property | machinery | fittings | vehicles | Totals |
£ | £ | £ | £ | £ |
Valuation in 1998 | 104,085 | - | - | - | 104,085 |
Valuation in 2002 | 126,400 | - | - | - | 126,400 |
Valuation in 2003 | (73,790 | ) | - | - | - | (73,790 | ) |
Valuation in 2015 | 1,267,390 | - | - | - | 1,267,390 |
Cost | 275,915 | 22,761 | 97,146 | 93,092 | 488,914 |
1,700,000 | 22,761 | 97,146 | 93,092 | 1,912,999 |
Freehold Land and Buildings were valued on an open market basis on 30 September 2015 by the directors . |
The directors after taking advice are satisfied that the current market value is in line with the valuation of the properties as reflected in the financial statements. |
THE GREENWICH DEVELOPMENT CORPORATION |
LIMITED (REGISTERED NUMBER: 01553679) |
(LIMITED BY GUARANTEE) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
6. | FIXED ASSET INVESTMENTS |
Shares in |
group | Other |
undertakings | investments | Totals |
£ | £ | £ |
COST |
At 1 October 2022 |
and 30 September 2023 | 102 |
NET BOOK VALUE |
At 30 September 2023 | 102 |
At 30 September 2022 | 102 |
The shares in group undertakings relates to 100% shareholding in the following subsidiaries: |
The Greenwich Enterprise Board |
Greenwich Car Parking Services Limited |
Called up share capital | 1 | 100 |
Retained earnings | - | 128,381 |
7. | INVESTMENT PROPERTY |
Total |
£ |
FAIR VALUE |
At 1 October 2022 |
Additions |
At 30 September 2023 |
NET BOOK VALUE |
At 30 September 2023 |
At 30 September 2022 |
THE GREENWICH DEVELOPMENT CORPORATION |
LIMITED (REGISTERED NUMBER: 01553679) |
(LIMITED BY GUARANTEE) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
7. | INVESTMENT PROPERTY - continued |
Fair value at 30 September 2023 is represented by: |
£ |
Valuation in 1990 | 158,595 |
Valuation in 1998 | 126,610 |
Valuation in 2002 | 170,247 |
Valuation in 2003 | 2,172,220 |
Valuation in 2015 | 3,641,867 |
Cost | 13,606,473 |
19,876,012 |
Investment properties were valued on a rental yield basis on 30 September 2015 by the directors . |
8. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
30.9.23 | 30.9.22 |
£ | £ |
Trade debtors |
Amounts owed by group undertakings |
Bad debt provision | (15,802 | ) | (5,110 | ) |
VAT |
Prepayments and accrued income |
9. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
30.9.23 | 30.9.22 |
£ | £ |
Bank loans and overdrafts |
Trade creditors |
Amounts owed to group undertakings |
Other creditors |
Other taxes and PAYE | 173,099 | 141,654 |
Accruals and deferred income | 77,029 | 73,519 |
THE GREENWICH DEVELOPMENT CORPORATION |
LIMITED (REGISTERED NUMBER: 01553679) |
(LIMITED BY GUARANTEE) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
10. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
30.9.23 | 30.9.22 |
£ | £ |
Bank loans - 1-2 years |
Bank loans - 2-5 years |
Deferred income 2-5 years | 56,000 | 608,000 |
Deferred income more than 5 years |
11. | SECURED DEBTS |
Handelsbanken PLC has a fixed and floating charge over the undertaking and all of its assets for any debenture outstanding. |
12. | RESERVES |
Income |
and | Fair |
expenditure | Revaluation | value |
account | reserve | reserve | Totals |
£ | £ | £ | £ |
At 1 October 2022 |
Surplus for the year | - | - |
Transfer between reserves | 148,177 | (33,833 | ) | (114,344 | ) | - |
At 30 September 2023 | 18,305,898 |
13. | DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006 |
The Report of the Auditors was unqualified. |
for and on behalf of |
THE GREENWICH DEVELOPMENT CORPORATION |
LIMITED (REGISTERED NUMBER: 01553679) |
(LIMITED BY GUARANTEE) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
14. | RELATED PARTY DISCLOSURES |
During the year management charges have been received from Greenwich Car Parking Services Limited of £163,100 (2022: £158,500). |
During the year dividends of £150,000 (2022: £100,000) were received from Greenwich Car Parking Services Limited. |
Included in debtors are amounts due from Greenwich Car Parking Services Limited of £425,530 (2022: £594,177). The net expenditure incurred by the company on behalf of Greenwich Car Parking Services Limited during the year was £37,353 (2022: £48,146). |
Included in creditors are amounts owing to Greenwich Enterprise Board of £1 (2022: £1). |
15. | ULTIMATE CONTROLLING PARTY |
The ultimate controlling party is the Board of Directors. |
16. | LIMITED BY GUARANTEE |
The company is limited by guarantee. At 30 September 2023 there were eight members, each of whom, on winding up, has undertaken to contribute an amount not exceeding £1. |