REGISTERED NUMBER: |
Financial Statements for the Year Ended 30 April 2024 |
for |
O'Connor Properties Limited |
REGISTERED NUMBER: |
Financial Statements for the Year Ended 30 April 2024 |
for |
O'Connor Properties Limited |
O'Connor Properties Limited (Registered number: 12598768) |
Contents of the Financial Statements |
for the Year Ended 30 April 2024 |
Page |
Company Information | 1 |
Balance Sheet | 2 |
Notes to the Financial Statements | 3 |
O'Connor Properties Limited |
Company Information |
for the Year Ended 30 April 2024 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Registered Auditors |
164 Field End Road |
Eastcote |
Middlesex |
HA5 1RH |
O'Connor Properties Limited (Registered number: 12598768) |
Balance Sheet |
30 April 2024 |
30.4.24 | 30.4.23 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 3 |
Investments | 4 |
Investment property | 5 |
CURRENT ASSETS |
Debtors | 6 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 7 |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
PROVISIONS FOR LIABILITIES | 9 |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 10 |
Revaluation reserve |
Retained earnings |
SHAREHOLDERS' FUNDS |
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 |
O'Connor Properties Limited (Registered number: 12598768) |
Notes to the Financial Statements |
for the Year Ended 30 April 2024 |
1. | ACCOUNTING POLICIES |
Company information |
O'Connor Properties Limited is a private limited company, limited by shares, domiciled and incorporated in England and Wales. The registered office is 164 Field End Road, Eastcote, England, HA5 1RH. |
Accounting Convention |
These financial statements have been prepared in accordance with FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" ("FRS 102") and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. |
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £. |
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below. |
Going Concern |
The financial statements are prepared on a going concern basis, which assume the company will continue its operational existence for the foreseeable future. |
As at 30 April 2023, the company had net assets of £34,984,509 and net current liabilities of £7,465,770. The company made a net profit of £12,820,781 and an operating loss of £465,873 in the year. |
The company is financed through a loan made by its ultimate parent company, which amounted to £9,452,655 as at 30 April 2023. Its ultimate parent company has confirmed that it will not seek repayment of the amounts owed to it by O'Connor Properties Limited until such time as they are able to repay them without compromising their ability to continue to trade and to meet its liabilities as they fall due. In addition, the parent company has provided a letter of support to confirm they will provide continued financial support to the company, as required, for a minimum of 12 months from the date of approval of the audit report. |
Based on the above, the directors believe that the company will be able to continue in business and meet its liabilities as they fall due for a period of at least 12 months from the date of approval of these financial statements. Therefore the directors continue to adopt the going concern basis of accounting in preparing the financial statements. |
Turnover |
Revenue comprises rent receivable from the company's investment properties, and is recognised in the period to which the rental income relates and is shown net of VAT. |
Tangible fixed assets |
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. |
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases: |
Freehold land and buildings | 2% straight line |
Plant and equipment | 20% straight line |
Fixtures and fittings | 20% straight line |
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss. |
Investment properties |
Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. Changes in fair value are recognised in profit or loss. |
O'Connor Properties Limited (Registered number: 12598768) |
Notes to the Financial Statements - continued |
for the Year Ended 30 April 2024 |
Impairment of fixed assets |
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs. |
Cash and cash equivalents |
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. |
Financial instruments |
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. |
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument. |
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally 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. |
Basic financial assets |
Basic financial assets, which include debtors 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 the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. |
Classification of financial liabilities |
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. |
Basic financial liabilities |
Basic financial liabilities, including creditors, 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 payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. |
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. |
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. |
Taxation |
The tax expense represents the sum of the tax currently payable and deferred tax. |
Current tax |
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date. |
O'Connor Properties Limited (Registered number: 12598768) |
Notes to the Financial Statements - continued |
for the Year Ended 30 April 2024 |
Deferred tax |
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit. |
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority. |
Employee benefits |
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets. |
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received. |
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits. |
Retirement benefits |
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. |
Judgements and key sources of estimation uncertainty |
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be 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 in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. |
Key sources of estimation uncertainty |
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows |
Useful economic life of tangible fixed assets |
The annual depreciation charge for tangible fixed assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets. |
Carrying value of investment property |
The investment property is valued by the directors with reference to a variety of sources demonstrating market evidence and recent transaction prices for similar properties, including guidance from relevant experts or brokers. |
2. | EMPLOYEES AND DIRECTORS |
The average number of employees during the year was |
O'Connor Properties Limited (Registered number: 12598768) |
Notes to the Financial Statements - continued |
for the Year Ended 30 April 2024 |
3. | TANGIBLE FIXED ASSETS |
Fixtures |
Freehold | Plant and | and |
property | machinery | fittings | Totals |
£ | £ | £ | £ |
COST |
At 1 May 2023 |
Additions |
Transfer investment property | ( |
) | ( |
) |
At 30 April 2024 |
DEPRECIATION |
At 1 May 2023 |
Charge for year |
Transfer investment property | ( |
) | ( |
) |
At 30 April 2024 |
NET BOOK VALUE |
At 30 April 2024 |
At 30 April 2023 |
4. | FIXED ASSET INVESTMENTS |
Shares in |
group |
undertakings |
£ |
COST |
Additions |
At 30 April 2024 |
NET BOOK VALUE |
At 30 April 2024 |
5. | INVESTMENT PROPERTY |
Total |
£ |
FAIR VALUE |
At 1 May 2023 |
Additions |
Revaluations | 380,000 |
Impairments | (380,000 | ) |
Transfers from fixed assets | 304,500 |
At 30 April 2024 |
NET BOOK VALUE |
At 30 April 2024 |
At 30 April 2023 |
O'Connor Properties Limited (Registered number: 12598768) |
Notes to the Financial Statements - continued |
for the Year Ended 30 April 2024 |
5. | INVESTMENT PROPERTY - continued |
Fair value at 30 April 2024 is represented by: |
£ |
Valuation in 2022 | 211,902 |
Valuation in 2023 | 16,950,030 |
Cost | 33,052,585 |
50,214,517 |
During the year, a final property was no longer let within the group and therefore this property was transferred from tangible fixed assets to investment property. |
The investment properties were subject to an internal directors' valuation. |
If the investment properties were stated on a historical cost basis rather than a fair value basis, the amount included would be £33,052,585. No depreciation is charged on the investment properties. |
6. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
30.4.24 | 30.4.23 |
£ | £ |
Trade debtors |
Amounts owed by group undertakings |
Other debtors |
Prepayments and accrued income |
7. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
30.4.24 | 30.4.23 |
£ | £ |
Hire purchase contracts (see note 8) |
Trade creditors |
Amounts owed to group undertakings |
Tax |
Social security and other taxes |
Other creditors |
Directors' current accounts | 275,976 | 275,999 |
Accruals and deferred income |
8. | LEASING AGREEMENTS |
Minimum lease payments under hire purchase fall due as follows: |
Hire purchase contracts |
30.4.24 | 30.4.23 |
£ | £ |
Net obligations repayable: |
Within one year |
O'Connor Properties Limited (Registered number: 12598768) |
Notes to the Financial Statements - continued |
for the Year Ended 30 April 2024 |
8. | LEASING AGREEMENTS - continued |
At the reporting end date the company had contracted with tenants for the following minimum lease payments: |
30-04-24 | 30-04-23 |
£ | £ |
Within one year | 26,582,558 | 27,775,578 |
26,582,558 | 27,775,578 |
9. | PROVISIONS FOR LIABILITIES |
30.4.24 | 30.4.23 |
£ | £ |
Deferred tax | 4,265,317 | 4,256,089 |
Deferred |
tax |
£ |
Balance at 1 May 2023 |
Accelerated capital allowances | 9,228 |
Revaluations |
Balance at 30 April 2024 |
10. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 30.4.24 | 30.4.23 |
value: | £ | £ |
Ordinary | 1 | 100,000 | 100,000 |
11. | DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006 |
The Report of the Auditors was qualified on the following basis: |
Basis for disclaimer of opinion on financial statements |
The audit evidence available to us was limited and we were unable to sufficiently verify the basis of the fair values attached to the investment properties. As a result of this we have been unable to obtain sufficient appropriate audit evidence concerning the carrying value of investment properties along with the related fair value gains or losses and deferred tax liability. |
for and on behalf of |
O'Connor Properties Limited (Registered number: 12598768) |
Notes to the Financial Statements - continued |
for the Year Ended 30 April 2024 |
11. | DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006 - continued |
As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006: |
The auditor's report was qualified and the auditor reported as follows: |
Disclaimer of opinion |
We were engaged to audit the financial statements of O'Connor Properties Limited (the 'company') for the year ended 30 April 2024 which comprise the Profit and Loss Account, the Balance Sheet, the Statement of Changes in Equity and notes to the financial statements, including significant accounting policies. 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). |
We do not express an opinion on the accompanying financial statements. Because of the significance of the matter described in the 'Basis for Disclaimer of Opinion' section of our report, we have not been able to obtain sufficient appropriate audit evidence to provide a basis for an audit opinion on these financial statements. |
12. | RELATED PARTY DISCLOSURES |
The company has taken advantage of the exemption available under FRS 102 whereby it has not disclosed transactions with the parent company or any wholly owned subsidiary undertakings of the group |
. |
During the year, the company received repayment of a loan amounting to £100,000 (2023: £nil) from Portrack OCL Limited, a company controlled by the children of T J O'Connor. At the balance sheet date, the company was owed £nil (2023: £100,000) by Portrack OCL Limited. |
At the year end, £275,976 (2023: £275,999) was owed by the company to the two directors T G O'Connor and T J O'Connor. The maximum amount owed to the company by these directors during the year was £nil (2023: £7,650,612). During the year, the sum total of the loans made to these directors, by the company, was £23 (2023: £270,131) and the sum total of repayments made to the directors by the company was £nil (2023: £8,197,860). There was also an expense for the company paid privately by the directors for £nil (2023: £1,443). |
13. | PARENT COMPANY |
The company's immediate parent undertaking is O'Connor Properties Holdings Limited, a company registered in England & Wales and its registered office address is 164 Field End Road, Eastcote, HA5 1RH, United Kingdom. |
The company's ultimate parent undertaking is O'Connor Group Topco Limited, a company registered in England & Wales and its registered office address is 164 Field End Road, Eastcote, HA5 1RH, United Kingdom. The consolidated financial statements of O'Connor Group Topco Limited and its subsidiaries are publically available from Companies House, Crown Way, Maindy, Cardiff, CF14 3UZ. |