Relate AccountsProduction v2.7.2 v2.7.2 2023-01-01 The company was not dormant during the period The company was trading for the entire period Property development. 30 May 2024 1 1 11989618 2023-12-31 11989618 2022-12-31 11989618 2021-12-31 11989618 2023-01-01 2023-12-31 11989618 2022-01-01 2022-12-31 11989618 uk-bus:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 11989618 uk-curr:PoundSterling 2023-01-01 2023-12-31 11989618 uk-bus:FullAccounts 2023-01-01 2023-12-31 11989618 uk-bus:Director1 2023-01-01 2023-12-31 11989618 uk-bus:RegisteredOffice 2023-01-01 2023-12-31 11989618 uk-bus:Agent1 2023-01-01 2023-12-31 11989618 uk-bus:Audited 2023-01-01 2023-12-31 11989618 uk-core:ShareCapital 2023-12-31 11989618 uk-core:ShareCapital 2022-12-31 11989618 uk-core:RetainedEarningsAccumulatedLosses 2023-12-31 11989618 uk-core:RetainedEarningsAccumulatedLosses 2022-12-31 11989618 uk-core:TotalEquityAttributableToOwnersParentBeforeNon-controllingInterests 2023-12-31 11989618 uk-core:TotalEquityAttributableToOwnersParentBeforeNon-controllingInterests 2022-12-31 11989618 uk-core:RestatedAmount uk-core:RetainedEarningsAccumulatedLosses 2022-12-31 11989618 uk-core:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 11989618 uk-bus:FRS102 2023-01-01 2023-12-31 11989618 uk-core:CurrentFinancialInstruments 2023-12-31 11989618 uk-core:CurrentFinancialInstruments 2022-12-31 11989618 uk-core:CurrentFinancialInstruments 2023-12-31 11989618 uk-core:CurrentFinancialInstruments 2022-12-31 11989618 uk-core:WithinOneYear 2023-12-31 11989618 uk-core:WithinOneYear 2022-12-31 11989618 uk-bus:OrdinaryShareClass1 2023-01-01 2023-12-31 11989618 uk-bus:OrdinaryShareClass1 2023-12-31 11989618 uk-core:ParentEntities 2023-01-01 2023-12-31 11989618 uk-countries:Malta 2023-01-01 2023-12-31 xbrli:pure iso4217:GBP xbrli:shares
 
 
 
College Road Developments (Croydon) Limited
 
Reports and Financial Statements
 
for the financial year ended 31 December 2023



College Road Developments (Croydon) Limited
DIRECTOR AND OTHER INFORMATION

 
Director John Fleming
 
 
Company Registration Number 11989618
 
 
Registered Office and Business Address 5th Floor
62-64 Baker Street
London
W1U 7DF
 
 
Independent Auditors Crowley Young
Chartered Accountants
Level 1
Devonshire House
One Mayfair Place
London
W1J 8AJ
 
   
Solicitors Mayer Brown International LLP
  201 Bishopsgate
  London
  EC2M 3AF



College Road Developments (Croydon) Limited
STRATEGIC REPORT
for the financial year ended 31 December 2023

 
The director presents his strategic report on the company for the financial year ended 31 December 2023.
 
Review of the Company's Business
Turnover of the company for the financial year was £20.81m (FY22: £82.37m); the development is now complete.

The company has decided to retain one of the properties and this has been appropriated to fixed assets and is generating rental income in 2024.

There was an operating loss for the year of £1.44m (2022: £1.99m) due to increased construction costs.

A further loss of £3.9m arose on revaluation of the investment property. The parent company has agreed to waive funding of £7m previously provided so that the company can continue as a going concern. However, the director is confident that the property value will increase when rental income is stabilised and the parent company will recover part of its loss in due course.

At the year end, there was a balance sheet surplus of £0.31m (FY22: Deficit of £1.7m).
       
Principal Risks and Uncertainties
The director is aware of the inherent risks within the property market. The company monitors and manages these risks through internal controls and maintaining awareness of the market within which it operates.

Economic Risk
Significant political events and changing economic landscape in the UK and overseas can impact the company''s property business through, for example, supply chain disruption, labour costs and supply as well as the introduction of policies that may directly impact the company''s business model. These risks are considered when setting the company''s business strategy and operating model as well as working closely with our key contractors to mitigate supply risks.

Government regulation and planning process
Changes in the regulatory environment may affect the conditions and time taken to obtain planning approval and awarding of development contracts. Consultation with government agencies and our involvement with leading industry groups and stakeholders help to monitor, understand, and plan for proposed changes.

Health and safety
The director considers this to be an area of critical importance with the company promoting a positive safety culture, ensuring the wellbeing of all parties involved with our work. Health and safety or environmental breaches can impact our contractors and site visitors.
       
Section 172 Statement
The board of directors plan for the business is designed to have a long term beneficial impact on the company and to contribute to its success in delivering high quality residential buildings.

The health, safety and well-being of our sub-contractors and visitors to our site is one of our primary considerations in the way we do business. We act responsibly and fairly in our dealings with our suppliers and our sub-contractors and co-operate with our regulators, all of whom are integral to the successful delivery of our plan. We consider how our business impacts the community and the environment. The use of offsite construction methods benefits local residents, authorities and communities by enabling faster and less disruptive construction projects.

As the Board of Directors, our intention is to behave responsibly and we ensure that management act in a responsible manner, operating within the high standards of business conduct and good governance expected from our business.

Our intention is to behave responsibly towards our shareholders and treat them fairly so they too may benefit from the successful delivery of our plan.
       
       
On behalf of the board
       
___________________________      
John Fleming      
Director      
       
30 May 2024      



College Road Developments (Croydon) Limited
DIRECTOR'S REPORT
for the financial year ended 31 December 2023

 
The director presents his report and the audited financial statements for the financial year ended 31 December 2023.
 
Principal Activity
Property development.
     
Results and Dividends
The profit/(loss) for the financial year after providing for taxation amounted to £2,016,043 (2022 - £(1,908,444)).
The director does not recommend payment of a dividend.
     
Director
The director who served during the financial year is as follows:
     
John Fleming
   
There were no changes in shareholdings between 31 December 2023 and the date of signing the financial statements.
     
Future Developments
The company plans to continue its present activities to ensure the sale of its final development.
     
Events After the End of the Reporting Period
There have been no significant events affecting the company since the financial year-end.
     
Political Contributions
The company did not make any disclosable political donations in the current financial year.
     
Employee Engagement
The company had no employees, other than the director.
     
Statement of Director's Responsibilities
             
The director is responsible for preparing the Strategic Report, Director's Report and the financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law) including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”. Under company law the director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the director is required to:
-select suitable accounting policies and apply them consistently;
-make judgements and accounting estimates that are reasonable and prudent;
-state whether applicable UK Accounting Standards comprising FRS 102 have been followed, subject to any material departures disclosed and explained in the financial statements;
-prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.
The director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable him to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
                 
Disclosure of Information to Auditor
Each person who is a director at the date of approval of this report confirms that:
In so far as the director is aware:
-there is no relevant audit information (information needed by the company's auditor in connection with preparing the auditor's report) of which the company's auditor is unaware, and
-the director has taken all the steps that he ought to have taken to make himself aware of any relevant audit information and to establish that the company's auditor is aware of that information.
     
Auditors
The auditors, Crowley Young, (Chartered Accountants) have indicated their willingness to continue in office in accordance with the provisions of Section 485 of the Companies Act 2006.
     
     
On behalf of the board
     
___________________________
John Fleming
Director
     
30 May 2024



INDEPENDENT AUDITOR'S REPORT
to the Shareholders of College Road Developments (Croydon) Limited

 
Report on the audit of the financial statements
 
Opinion
We have audited the financial statements of College Road Developments (Croydon) Limited ('the company') for the financial year ended 31 December 2023 which comprise the Income Statement, the Statement of Financial Position, the Statement of Changes in Equity, the Statement of Cash Flows and the related notes to the financial statements, including significant accounting policies set out in note . The financial reporting framework that has been applied in their preparation is applicable Law and United Kingdom Accounting Standards, including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:
-give a true and fair view of the state of the company's affairs as at 31 December 2023 and of its profit for the financial year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.
 
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
 
Conclusions relating to going concern
In auditing the financial statements, we has concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
 
Based on the work we has performed, we has not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from the date when the financial statements are authorised for issue.
 
Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report.
 
Other Information
The other information comprises the information included in the annual report other than the financial statements and our Auditor's Report thereon. The director is responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
 
Opinion on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Strategic Report and the Director's Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Strategic Report and the Director's Report have been prepared in accordance with applicable legal requirements.
 
Matters on which we are required to report by exception
In the light of our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified any material misstatements in the Strategic Report and the Director's Report.
 
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of director's remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.
 
Responsibilities of director for the financial statements
The director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
 
In preparing the financial statements, the director is responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the director either intend to liquidate the company or to cease operations, or has no realistic alternative but to do so.
 
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditor's Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
 
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
 
Our procedures included: enquiry of management and those charged with Governance around actual and potential litigation and claims; enquiry of entity staff in tax and compliance functions to identify any instances of non-compliance with laws and regulations; reviewing minutes of meetings of those charged with governance; reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations; auditing the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness.
 
A further description of our responsibilities for the audit of the financial statements is contained in the appendix to this report, located at page , which is to be read as an integral part of our report.
 
Use of our report
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.
 
 
__________________________________
CROWLEY YOUNG
Chartered Accountants
Level 1
Devonshire House
One Mayfair Place
London
W1J 8AJ
 
30 May 2024



College Road Developments (Croydon) Limited
APPENDIX TO THE INDEPENDENT AUDITOR'S REPORT

Further information regarding the scope of our responsibilities as auditor
 
As part of an audit in accordance with ISAs (UK), we exercise professional judgement and maintain professional scepticism throughout the audit. We also:
 
- Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
 
- Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the company's internal control.
 
- Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors.
 
- Conclude on the appropriateness of the director's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our Auditor's Report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our Auditor's Report. However, future events or conditions may cause the company to cease to continue as a going concern.
 
- Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
 
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.



College Road Developments (Croydon) Limited
INCOME STATEMENT
for the financial year ended 31 December 2023
2023 2022
Notes £ £

Turnover 4 20,810,020 82,371,052
 
Cost of sales (22,235,770) (84,132,274)
───────── ─────────
Gross loss (1,425,750) (1,761,222)
 
Administrative expenses (14,905) (227,719)
───────── ─────────
Operating loss 5 (1,440,655) (1,988,941)
 
Exceptional items 6 3,558,309 -
───────── ─────────
Profit/(loss) before interest 2,117,654 (1,988,941)
 
Interest receivable and similar income 7 - 161,984
Interest payable and similar expenses 8 (160,356) (194,496)
───────── ─────────
Profit/(loss) before taxation 1,957,298 (2,021,453)
 
Tax on profit/(loss) 10 58,745 113,009
───────── ─────────
Profit/(loss) for the financial year 2,016,043 (1,908,444)
───────── ─────────
Total comprehensive income 2,016,043 (1,908,444)
    ═════════   ═════════



College Road Developments (Croydon) Limited
Company Registration Number: 11989618
STATEMENT OF FINANCIAL POSITION
as at 31 December 2023

2023 2022
Notes £ £
 
Non-Current Assets
Property, plant and equipment 11 39,375,000 -
───────── ─────────
 
Current Assets
Stocks 12 - 34,115,964
Debtors 13 2,629,720 27,749,359
Cash and cash equivalents 14 379,053 2,593,395
───────── ─────────
3,008,773 64,458,718
───────── ─────────
Creditors: amounts falling due within one year 15 (42,074,029) (66,165,017)
───────── ─────────
Net Current Liabilities (39,065,256) (1,706,299)
───────── ─────────
Total Assets less Current Liabilities 309,744 (1,706,299)
═════════ ═════════
 
Capital and Reserves
Called up share capital 17 100 100
Retained earnings 309,644 (1,706,399)
───────── ─────────
Equity attributable to owners of the company 309,744 (1,706,299)
═════════ ═════════
 
           
Approved by the Director and authorised for issue on 30 May 2024
           
________________________________          
John Fleming          
Director          
           



College Road Developments (Croydon) Limited
STATEMENT OF CHANGES IN EQUITY
as at 31 December 2023

Called up Retained Total
share earnings
capital
£ £ £
 
At 1 January 2022 100 202,045 202,145
───────── ───────── ─────────
Loss for the financial year - (1,908,444) (1,908,444)
───────── ───────── ─────────
At 31 December 2022 100 (1,706,399) (1,706,299)
  ───────── ───────── ─────────
Profit for the financial year - 2,016,043 2,016,043
  ───────── ───────── ─────────
At 31 December 2023 100 309,644 309,744
  ═════════ ═════════ ═════════



College Road Developments (Croydon) Limited
STATEMENT OF CASH FLOWS
for the financial year ended 31 December 2023
2023 2022
Notes £ £

Cash flows from operating activities
Profit/(loss) for the financial year 2,016,043 (1,908,444)
Adjustments for:
Exceptional items (3,558,309) -
Interest receivable and similar income - (161,984)
Interest payable and similar expenses 160,356 194,496
Tax on profit/(loss) on ordinary activities (58,745) (113,009)
───────── ─────────
(1,440,655) (1,988,941)
Movements in working capital:
Movement in stocks 34,115,964 (33,725,964)
Movement in debtors 18,328,976 (10,130,248)
Movement in creditors (44,725,255) 47,815,370
───────── ─────────
Cash generated from operations 6,279,030 1,970,217
Interest paid (160,356) (194,496)
Tax paid - (2,150,431)
Tax repaid 1,023,005 73,844
───────── ─────────
Net cash generated from/(used in) operating activities 7,141,679 (300,866)
───────── ─────────
Cash flows from investing activities
Interest received   - 161,984
Payments to acquire investment property   (42,816,691) -
    ───────── ─────────
Net cash (used in)/generated from investment activities   (42,816,691) 161,984
    ───────── ─────────
Cash flows from financing activities
Movement in funding to subsidiaries/group companies   5,767,658 (1,094,371)
Advances from subsidiaries/group companies and connected parties   27,693,012 195,417
    ───────── ─────────
Net cash generated from/(used in) financing activities   33,460,670 (898,954)
    ───────── ─────────
       
Net decrease in cash and cash equivalents   (2,214,342) (1,037,836)
Cash and cash equivalents at beginning of financial year   2,593,395 3,631,231
    ───────── ─────────
Cash and cash equivalents at end of financial year 14 379,053 2,593,395
    ═════════ ═════════



College Road Developments (Croydon) Limited
NOTES TO THE FINANCIAL STATEMENTS
for the financial year ended 31 December 2023

   
1. General Information
 
College Road Developments (Croydon) Limited is a company limited by shares incorporated and registered in the United Kingdom. The registered number of the company is 11989618. The registered office of the company is 5th Floor, 62-64 Baker Street, London, W1U 7DF which is also the principal place of business of the company. The nature of the company's operations and its principal activities are set out in the Director's Report. The financial statements have been presented in Pound Sterling (£) which is also the functional currency of the company.
         
2. Summary of Significant Accounting Policies
 
The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the company's financial statements.
 
Statement of compliance
The financial statements of the company for the financial year ended 31 December 2023 have been prepared in accordance with the Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland (FRS 102) issued by the Financial Reporting Council and in accordance with the Companies Act 2006.
 
Basis of preparation
The financial statements have been prepared on the going concern basis and in accordance with the historical cost convention except for certain properties and financial instruments that are measured at revalued amounts or fair values, as explained in the accounting policies below. Historical cost is generally based on the fair value of the consideration given in exchange for assets.
 
Turnover
Turnover comprises the invoice value of construction works carried out during the year.
 
Investment properties
Investment property is property held either to earn rental income, or for capital appreciation (including future re-development) or for both, but not for sale in the ordinary course of business. Investment property is initially measured at cost, which includes the purchase cost and any directly attributable expenditure. Investment property is subsequently valued at its fair value at each reporting date, by professional external valuers. The difference between the fair value of an investment property at the reporting date and its carrying value prior to the valuation is recognised in the Income Statement as a fair value gain or loss. Any gain or loss on disposal of an investment property (calculated as the difference between the net proceeds from disposal and the carrying amount of the item) is recognised in the Income Statement.
 
Stocks
Work in progress
Work in progress comprises properties currently being developed, stated at the lower of cost and net realisable value. Net realisable value is defined as the current selling price of the completed development less all further costs to completion as estimated by the director. Cost comprises purchase price and all site development costs. Costs also include interest and finance fees which are capitalised from the date of commencement of active development until the development is completed. However, capitalisation of interest is suspended during extended periods in which active development is interrupted. Interest is calculated by reference to specific borrowings.

Work in progress represents costs incurred, net of amounts transferred to cost of sales, less forseeable losses.

Development land
Development land is stated at cost or net realisable value, whichever is lower. Cost will comprise the land cost and incidental costs of acquisition.

Construction contracts
Where the outcome of a construction contract can be estimated reliably, revenue and costs are recognised by reference to the stage of completion of the contract at the reporting end date. Variations in contract work, claims and incentive payments are included to the extent that the amount can be measured reliably and its receipt is considered probable. Revenue not billed to clients is included in debtors and payments on account in excess of the relevant amounts of revenue are included in creditors.

Where it is probable that total contract costs will exceed total contract turnover, the expected loss is recognised as an expense immediately.

Where the outcome of a construction contract cannot be estimated reliably, contract costs are recognised as expenses in the period in which they are incurred and contract revenue is recognised to the extent of contract costs incurred where it is probable that they will be recovered.

Where third party certificates are not available, the "percentage of completion method" is used to determine the appropriate amounts to recognise in a given period. The stage of completion is measured by the proportion of contract costs incurred for work performed to date compared to the total contract costs. Costs incurred in the year in connection with future activity on a contract are excluded from contract costs in determining the stage of completion. These costs are presented as stocks, prepayments or other assets depending on their nature, and provided it is probable they will be recovered.
 
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.
 
Trade and other creditors
Trade and other creditors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest rate method, unless the effect of discounting would be immaterial, in which case they are stated at cost.
 
Taxation
Current tax represents the amount expected to be paid or recovered in respect of taxable profits for the financial year and is calculated using the tax rates and laws that have been enacted or substantially enacted at the Statement of Financial Position date.
 
Ordinary share capital
The ordinary share capital of the company is presented as equity.
 
Exceptional item
Exceptional items are those that the directors' view are required to be separately disclosed by virtue of their size or incidence to enable a full understanding of the company's financial performance.
   
3. Going concern
 
Having undertaken a going concern review, the director has considered the company's principal risk areas, including the potential impact of rising costs and inflation, when assessing the ability of the company to continue as a going concern. The director has stress tested the forecasts by considering potential downturns in performance which represent severe but plausible scenarios in these uncertain times.

The director has a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The company has the support of other group companies who are committed to ongoing financial support. The company therefore continues to adopt the going concern basis in preparing its financial statements.
       
4. Turnover
 
The whole of the company's turnover is attributable to its market in the United Kingdom and is derived from the principal activity of property development.
       
5. Operating loss 2023 2022
  £ £
Operating loss is stated after charging:
Auditor's remuneration
- audit services 7,328 5,589
  ═════════ ═════════
       
6. Exceptional items 2023 2022
  £ £
 
Impairment of investment property (3,441,691) -
Loan from parent company waived 7,000,000 -
  ───────── ─────────
  3,558,309 -
  ═════════ ═════════
       
7. Interest receivable and similar income 2023 2022
  £ £
 
Other interest - 161,984
  ═════════ ═════════
       
8. Interest payable and similar expenses 2023 2022
  £ £
 
On amounts payable to connected parties 160,356 194,496
  ═════════ ═════════
 
An addidional £316,691 of interest paid to connected parties was capitalised.
       
9. Employees and remuneration
 
Number of employees
The average number of persons employed (including executive director) during the financial year was as follows:
 
  2023 2022
  Number Number
 
Management 1 1
  ═════════ ═════════
       
10. Tax on profit/(loss)
  2023 2022
  £ £
(a)     Analysis of charge in the financial year
 
Current tax:
Corporation tax at 23.52% (2022 - 19.00%) - -
Receipt in respect of group relief (58,745) (94,371)
Under/over provision in prior financial year - (18,638)
  ───────── ─────────
Total current tax (58,745) (113,009)
  ═════════ ═════════
 
(b)     Factors affecting tax charge for the financial year
 
The tax assessed for the financial year differs from the standard rate of corporation tax in the United Kingdom 23.52% (2022 - 19.00%). The differences are explained below:
  2023 2022
  £ £
 
Profit/(loss) taxable at 23.52% 1,957,298 (2,021,453)
  ═════════ ═════════
Profit/(loss) before tax
multiplied by the standard rate of corporation tax
in the United Kingdom at 23.52% (2022 - 19.00%) 460,356 (384,076)
Effects of:
Losses carried forward 317,813 289,705
Impairment of investment property 809,486 -
Loan from parent company waived (1,646,400) -
Adjustment to tax charge in respect of previous periods - (18,638)
  ───────── ─────────
Total tax charge for the financial year (Note 10 (a)) (58,745) (113,009)
  ═════════ ═════════
 
       
11. Property, plant and equipment
  Investment Total
  properties  
     
  £ £
Cost
At 1 January 2023 - -
Additions 42,816,691 42,816,691
Revaluation (3,441,691) (3,441,691)
  ───────── ─────────
At 31 December 2023 39,375,000 39,375,000
  ───────── ─────────
Depreciation
At 1 January 2023 - -
  ───────── ─────────
At 31 December 2023 - -
  ───────── ─────────
Net book value
At 31 December 2023 39,375,000 39,375,000
  ═════════ ═════════
 
The investment property was professionally valued by Jones Lang LaSalle after the year end and the asset is stated at this valuation.
       
12. Stocks 2023 2022
  £ £
 
Work in progress - 34,115,964
  ═════════ ═════════
       
13. Debtors 2023 2022
  £ £
 
Trade debtors - 1,971,752
Amounts recoverable on long term work-in-progress 2,100,349 18,454,773
Amounts owed by group undertakings 131,518 5,899,176
Taxation  (Note 16) 397,853 1,423,658
  ───────── ─────────
  2,629,720 27,749,359
  ═════════ ═════════
       
14. Cash and cash equivalents 2023 2022
  £ £
 
Cash and bank balances 379,053 2,593,395
  ═════════ ═════════
       
15. Creditors 2023 2022
Amounts falling due within one year £ £
 
Trade creditors 15,840 34,273,533
Amounts owed to group undertakings 1,727,995 1,038,397
Amounts owed to connected parties (Note 19) 37,569,128 10,565,714
Taxation  (Note 16) 441,793 -
Accruals 2,319,273 20,287,373
  ───────── ─────────
  42,074,029 66,165,017
  ═════════ ═════════
       
16. Taxation 2023 2022
  £ £
 
Debtors:
VAT - 12,400
Corporation tax - 1,023,005
Subcontractors tax 397,853 388,253
  ───────── ─────────
  397,853 1,423,658
  ═════════ ═════════
Creditors:
VAT 441,793 -
  ═════════ ═════════
           
17. Share capital     2023 2022
      £ £
Description Number of shares Value of units    
 
Allotted, called up and fully paid
Ordinary 100 £1 each 100 100
 
      ═════════ ═════════
       
18. Capital commitments
 
The company had no material capital commitments at the financial year-ended 31 December 2023.
       
19. Related party transactions
The company has availed of the exemption under FRS 102 Section 1A in relation to the disclosure of transactions with group undertakings.
 
The following amounts are due to other connected parties:
  2023 2022
  £ £
 
Tide Construction Limited 37,569,128 -
Berkeley Street Investments Limited - 10,565,714
  ───────── ─────────
  37,569,128 10,565,714
  ═════════ ═════════
 
Tide Construction Limited is substantially owned by the ultimate beneficial owners of this company. Interest of £270,396 was charged on this loan (2022: interest refund of £6,112).

Berkeley Street Investments Limited is owned by the ultimate beneficial owners of this company. Interest paid on the loan amounted to £206,651 (2022: £17,038).
   
20. Parent company
 
The company regards Furadino Holdings Limited as its parent company.
 
The ultimate parent undertaking for which consolidated financial statements are prepared, which include the company, is Lewisrock Limited.
Lewisrock Limited is registered in Malta.
 
   
21. Events After the End of the Reporting Period
 
There have been no significant events affecting the company since the financial year-end.