MGK Real Estates Ltd 14407140 false 2022-10-10 2024-03-31 2024-03-31 The principal activity of the company is that of generating rental income through the commercial property held at 132-144 High Street, Bromley. Digita Accounts Production Advanced 6.30.9574.0 true true 14407140 2022-10-10 2024-03-31 14407140 2024-03-31 14407140 core:CurrentFinancialInstruments 2024-03-31 14407140 core:CurrentFinancialInstruments core:WithinOneYear 2024-03-31 14407140 core:Non-currentFinancialInstruments 2024-03-31 14407140 core:Non-currentFinancialInstruments core:AfterOneYear 2024-03-31 14407140 bus:SmallEntities 2022-10-10 2024-03-31 14407140 bus:AuditExemptWithAccountantsReport 2022-10-10 2024-03-31 14407140 bus:FilletedAccounts 2022-10-10 2024-03-31 14407140 bus:SmallCompaniesRegimeForAccounts 2022-10-10 2024-03-31 14407140 bus:RegisteredOffice 2022-10-10 2024-03-31 14407140 bus:Director1 2022-10-10 2024-03-31 14407140 bus:PrivateLimitedCompanyLtd 2022-10-10 2024-03-31 14407140 1 2022-10-10 2024-03-31 14407140 countries:EnglandWales 2022-10-10 2024-03-31 iso4217:GBP xbrli:pure

Registration number: 14407140

MGK Real Estates Ltd

Unaudited Filleted Financial Statements

for the Period from 10 October 2022 to 31 March 2024

 

MGK Real Estates Ltd

Contents

Company Information

1

Balance Sheet

2

Notes to the Unaudited Financial Statements

3 to 7

 

MGK Real Estates Ltd

Company Information

Director

Mr Saurabh Malhotra

Registered office

First Floor
The Urban Building
Albert Street
Slough
SL1 2BE

Accountants

Bourner Bullock
Chartered Accountants
114 St Martin's Lane
Covent Garden
London
WC2N 4BE

 

MGK Real Estates Ltd

(Registration number: 14407140)
Balance Sheet as at 31 March 2024

Note

2024
£

Fixed assets

 

Investment property

5

6,867,501

Current assets

 

Debtors

6

477,188

Cash at bank and in hand

 

137,194

 

614,382

Creditors: Amounts falling due within one year

7

(302,001)

Net current assets

 

312,381

Total assets less current liabilities

 

7,179,882

Creditors: Amounts falling due after more than one year

7

(6,642,572)

Net assets

 

537,310

Capital and reserves

 

Called up share capital

9

600,001

Retained earnings

(62,691)

Shareholders' funds

 

537,310

For the financial period ending 31 March 2024 the Company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Director's responsibilities:

The members have not required the Company to obtain an audit of its accounts for the period in question in accordance with section 476; and

The director acknowledges his responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

These financial statements have been delivered in accordance with the provisions applicable to companies subject to the small companies regime. As permitted by section 444 (5A) of the Companies Act 2006, the directors have not delivered to the registrar a copy of the Profit and Loss Account.

Approved and authorised by the director on 10 October 2024
 

.........................................
Mr Saurabh Malhotra
Director

 

MGK Real Estates Ltd

Notes to the Unaudited Financial Statements for the Period from 10 October 2022 to 31 March 2024

1

General information

The Company is a private company limited by share capital, incorporated in England and Wales.

Principal activity

The principal activity of the Company is that of generating rental income through the commercial property held at 132-144 High Street, Bromley.

The address of its registered office is:
First Floor
The Urban Building
Albert Street
Slough
SL1 2BE

These financial statements were authorised for issue by the director on 10 October 2024.

2

Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

Disclosure of long or short period

The company was incorporated on 10 October 2022. These financial statements have been prepared for the long period from 10 October 2022 to 31 March 2024.

Going concern

The financial statements have been prepared on a going concern basis.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable in respect of rental and service charge income in the ordinary course of the Company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.

The Company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the Company's activities.

 

MGK Real Estates Ltd

Notes to the Unaudited Financial Statements for the Period from 10 October 2022 to 31 March 2024

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rate on the date when the fair value is re-measured.

Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.

Tax

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the Company operates and generates taxable income.

Investment property

Investment property is carried at fair value, derived from the current market prices for comparable real estate determined annually by external valuers. The valuers use observable market prices, adjusted if necessary for any difference in the nature, location or condition of the specific asset. Changes in fair value are recognised in profit or loss.

Financial instruments

Classification
The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans to/from related parties and investments in non-puttable ordinary shares.

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.

Financial assets and liabilities are offset and the net amount reported in the Balance Sheet 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.

 

Debtors

Basic financial assets, including trade and other debtors, are intially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Such assets are subsequently carried at amortised cost using the effective interest method, less any impairment.

Trade debtors are amounts due from customers for services performed in the ordinary course of business.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

 

MGK Real Estates Ltd

Notes to the Unaudited Financial Statements for the Period from 10 October 2022 to 31 March 2024

Creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the Company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the Company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

3

Significant judgements and key sources of estimation uncertainty

Judgements

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 revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. In the Director's opinion the only area of significant judgement is the valuation of the investment properties at the period end of £6,867,501.

4

Staff numbers

The average number of persons employed by the Company (including the director) during the period, was 0.

5

Investment properties

2024
£

Additions

6,867,501

At 31 March

6,867,501

 

MGK Real Estates Ltd

Notes to the Unaudited Financial Statements for the Period from 10 October 2022 to 31 March 2024

6

Debtors

Current

Note

2024
£

Amounts owed by related parties

434,800

Other debtors

 

42,388

   

477,188

7

Creditors

Creditors: amounts falling due within one year

Note

2024
£

Due within one year

 

Trade creditors

 

143,805

Amounts owed to related parties

15,000

Taxation and social security

 

19,878

Accruals and deferred income

 

102,082

Other creditors

 

21,236

 

302,001

Creditors: amounts falling due after more than one year

Note

2024
£

Due after one year

 

Loans and borrowings

8

6,642,572

8

Loans and borrowings

Non-current loans and borrowings

2024
£

Other borrowings

6,642,572

Other borrowings consist of deep discount bonds entered into on 9 March 2023.

The bonds have been subscribed to for a cash value of £6,100,000 with a redemption price of £9,100,000 at the final maturity date on 8 March 2028.

The value between the subscription price and the redemption price is accounted for as interest accruing over the term of the bond.

Any and all amounts outstanding under the discounted securities are unsecured.

 

MGK Real Estates Ltd

Notes to the Unaudited Financial Statements for the Period from 10 October 2022 to 31 March 2024

9

Share capital

Allotted, called up and fully paid shares

2024

No.

£

Ordinary shares of £1 each

600,001

600,001

   

10

Dividends

There were no dividends paid or proposed in the current year.

11

Parent and ultimate parent undertaking

The company's immediate parent is MGK Infra Realty Ltd, a company incorporated in England and Wales with registered office:

First Floor, The Urban Building, Albert Street, Slough, SL1 2BE, United Kingdom.