Company registration number 08396002 (England and Wales)
ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
COMPANY INFORMATION
Directors
Mr C E Dickson
Mr D A Benzie
Company number
08396002
Registered office
115B Innovation Drive
Milton Park
Milton
Abingdon
OX14 4RZ
Accountants
Crowe U.K. LLP
55 Ludgate Hill
London
EC4M 7JW
ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
CONTENTS
Page
Strategic report
1 - 2
Directors' report
3
Directors' responsibilities statement
4
Independent auditor's report
5 - 7
Income statement
8
Statement of financial position
9
Statement of changes in equity
10
Notes to the financial statements
11 - 25
ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
STRATEGIC REPORT
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
- 1 -

The directors present the strategic report for the period ended 30 September 2023.

Review of the business

Roadside Real Estate (Wellingborough) Limited (“the Company”) is a subsidiary of Roadside Real Estate PLC.

 

Roadside Real Estate Plc acquired 100% of the Company’s share capital on 7 January 2020. This was part of the wider business combination between the Dickson Controlled Entities (the company and three other companies considered to be under common control) and Roadside Real Estate Plc. The results of the Company are consolidated in the financial results of Roadside Real Estate Plc for the period ended 30 September 2023 and the period ended 2 July 2022.

 

The principal activity of the Company is focused on tenant led commercial property development in the South East of England.

 

A fair value decrease of £1.9m was recognised during the year in relation to the Wellingborough Development.

Principal risks and uncertainties

The key risks the Company faces are:

 

Accurate Appraisal of Proposed Developments

 

The ability for the Company to correctly appraise the costs associated with the development and the marketability of the end product is critical to its success. External factors, such as tenant demands, construction costs, government policy and interest rates all have a bearing on the potential success of the Company.

 

Investment Property Appraisal

 

Investment properties are properties which the Company owns, does not occupy for its own use and are held for either long term rental yields, or capital appreciation, or both. Investment properties also include property that is being developed or constructed for future use as an investment property by the Company.

 

At the end of a financial period the fair value is determined by a range of valuation techniques. There are a number of significant assumptions in these development appraisal valuations and a change in these assumptions could result in a significant change in the fair value of investment properties and therefore have a material effect on the Company’s results.

Key performance indicators

Key performance indicators are as follows:

 

 

Development at the Wellingborough site is progressing well, however during the year a fair value decrease of £1.9m was recognised.

 

A number of developments are currently in the pipeline, with GDV in excess of £15m.

ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
STRATEGIC REPORT (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
- 2 -

On behalf of the board

Mr D A Benzie
Director
20 February 2025
ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
DIRECTORS' REPORT
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
- 3 -

The directors present their annual report and financial statements for the period ended 30 September 2023.

Results and dividends

The results for the period are set out on page 8.

No ordinary dividends were paid. The directors do not recommend payment of a final dividend.

Directors

The directors who held office during the period and up to the date of signature of the financial statements were as follows:

Mr C E Dickson
Mr G M Langridge-Brown
(Resigned 5 April 2024)
Mr C M Reynolds
(Resigned 5 April 2024)
Mr D A Benzie
Supplier payment policy

The company's current policy concerning the payment of trade creditors is to follow the CBI's Prompt Payers Code (copies are available from the CBI, Centre Point, 103 New Oxford Street, London WC1A 1DU).

 

The company's current policy concerning the payment of trade creditors is to:

 

Auditor

Crowe U.K. LLP has expressed its willingness to continue in office as auditor. In accordance with the company's articles, a resolution proposing that Crowe U.K. LLP be reappointed as auditor of the company will be put at a General Meeting.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

On behalf of the board
Mr D A Benzie
Director
20 February 2025
ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
- 4 -

The directors are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.

 

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards comprising FRS 102 "Reduced Disclosure Framework" and applicable law.). Under company law the directors must not approve the financial statements unless they are 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 directors are required to:

 

The directors are 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 them to ensure that the financial statements comply with the Companies Act 2006. They are 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.

ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
- 5 -
Opinion

We have audited the financial statements of Roadside Real Estate (Wellingborough) Ltd (the ‘company’) for the period ended 30 September 2023 which comprise the income statement, the statement of financial position, 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 Financial Reporting Standard 101 Reduced Disclosure Framework (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

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 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 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 have concluded that the directors’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have 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 when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the directors 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 directors are 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 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.

ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED) (CONTINUED)
- 6 -

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit:

 

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of directors

As explained more fully in the directors' responsibilities statement, the directors are 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 the directors 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 directors are 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 directors either intend to liquidate the company or to cease operations, or have 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.

ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED) (CONTINUED)
- 7 -

We obtained an understanding of the legal and regulatory frameworks within which the company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Companies Act 2006 and taxation legislation.

 

We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be the override of controls by management and revenue recognition. Our audit procedures to respond to these risks included enquiries of management about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals and reviewing accounting estimates for biases, corroborating revenue recognised by the client through agreement to supporting documentation and ensuring accounting policies are appropriate under the United Kingdom Generally Accepted Practice and applicable law.

 

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

These inherent limitations are particularly significant in the case of misstatement resulting from fraud as this may involve sophisticated schemes designed to avoid detection, including deliberate failure to record transactions, collusion or the provision of intentional misrepresentations.

A further description of our responsibilities is available on the Financial Reporting Council's website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's 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.

John Charlton
Senior Statutory Auditor
For and on behalf of Crowe U.K. LLP, Statutory Auditor
London, United Kingdom
20 February 2025
ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
INCOME STATEMENT
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
- 8 -
Period
Year
ended
ended
30 September
2 July
2023
2022
Notes
£
£
Revenue
3
60,138
108,671
Cost of sales
-
0
(27,321)
Gross profit
60,138
81,350
Administrative expenses
(992,087)
(3,661,659)
Other operating income
97,776
-
0
Operating loss
4
(834,173)
(3,580,309)
Investment income
6
-
75,507
Finance costs
7
(851,615)
(306,599)
Fair value gains and losses on investment properties
10
(1,754,159)
1,249,733
Loss before taxation
(3,439,947)
(2,561,668)
Tax on loss
8
131
21,299
Loss and total comprehensive income for the financial period
18
(3,439,816)
(2,540,369)
ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
STATEMENT OF FINANCIAL POSITION
AS AT 30 SEPTEMBER 2023
30 September 2023
- 9 -
30 September
2 July
2023
2022
Notes
£
£
£
£
Non-current assets
Property, plant and equipment
9
308
1,058
Investment property
10
3,930,000
2,159,504
3,930,308
2,160,562
Current assets
Inventories
11
-
1,557,661
Trade and other receivables
12
7,449,935
2,025,061
Cash and cash equivalents
2,044,583
-
0
9,494,518
3,582,722
Current liabilities
13
(16,401,738)
(2,239,749)
Net current (liabilities)/assets
(6,907,220)
1,342,973
Total assets less current liabilities
(2,976,912)
3,503,535
Non-current liabilities
13
(582,250)
(3,622,881)
Net liabilities
(3,559,162)
(119,346)
Equity
Called up share capital
16
1
1
Share premium account
17
2,145,000
2,145,000
Retained earnings
18
(5,704,163)
(2,264,347)
Total equity
(3,559,162)
(119,346)
The financial statements were approved by the board of directors and authorised for issue on 20 February 2025 and are signed on its behalf by:
Mr D A Benzie
Director
Company registration number 08396002 (England and Wales)
ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
- 10 -
Share capital
Share premium account
Retained earnings
Total
£
£
£
£
Balance at 2 July 2021
1
2,145,000
276,022
2,421,023
Year ended 2 July 2022:
Loss and total comprehensive income
-
-
(2,540,369)
(2,540,369)
Balance at 2 July 2022
1
2,145,000
(2,264,347)
(119,346)
Period ended 30 September 2023:
Loss and total comprehensive income
-
-
(3,439,816)
(3,439,816)
Balance at 30 September 2023
1
2,145,000
(5,704,163)
(3,559,162)
ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
- 11 -
1
Accounting policies
Company information

Roadside Real Estate (Wellingborough) Limited (previously Barkby Real Estate Developments Limited) is a private company limited by shares incorporated in England and Wales. The registered office is 115B Innovation Drive, Milton Park, Abingdon, Oxfordshire OX14 4RZ. The principal activity of the company is construction of commercial property on behalf of clients. During the period, the company changed its name from Barkby Real Estate Developments Limited.

1.1
Reporting period

The accounting period has been extended such that the accounts are for the period ended 30 September 2023. As such the results for the current period are not entirely comparable.

1.2
Accounting convention

The financial statements have been prepared in accordance with Financial Reporting Standard 101 Reduced Disclosure Framework (FRS 101) and in accordance with applicable accounting standards.

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 on the historical cost basis. The principal accounting policies adopted are set out below.

 

Changes in accounting standards, amendments and interpretation not yet effective

 

The Company has adopted all of the new or amended Accounting Standards and Interpretations issued by the Financial Reporting Council (FRC) that are mandatory for the current reporting period.

 

Any new or amended Accounting Standards or Interpretations that are not yet mandatory have not been early adopted. Specifically, the amendment to FRS 101 applicable from 1 January 2023 (Amendment to FRS 101 Reduced Disclosure Framework - Effective date of IFRS 17) has not been applied in preparing this historical financial information.

 

None of these amendments are expected to have a material impact on the Company.

 

 

ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
1
Accounting policies
(Continued)
- 12 -

As permitted by FRS 101, the company has taken advantage of the following disclosure exemptions from the requirements of IFRS:

 

Where required, equivalent disclosures are given in the group accounts Roadside Real Estate PLC. The group accounts of Roadside Real Estate PLC are available to the public and can be obtained as set out in note 21.

 

These financial statements cover the financial period from 3 July 2022 to 30 September 2023.

 

These accounts have been prepared to 30 September 2023, consistent with Barkby Group policy.

1.3
Going concern

The Directors assess whether the use of going concern is appropriate, i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the company to continue as a going concern. The Directors make this assessment in respect of a period of at least one year from the date of signing of the accounts. The company is reliant on funding from its parent company Roadside Real Estate plc (formerly Barkby Group plc) in order to meet its obligations. The Directors have received assurances from the parent company that it will continue to support the company, including not recalling any intercompany balances due where such a recall might cause the company not to continue as a going concern, to enable it to meet its liabilities as they fall due for at least 12 months from the date of approval of the financial statements. The Directors have also received assurances that no related party balances will be recalled. At the date of signing of the accounts the Together Finance facility has been renewed for another 12 months until January 2026.true

 

The Directors have completed profitability and cash flow forecasts as part of the wider consideration of going concern. Based on this review and the availability of support from the Company's ultimate parent company, Roadside Real Estate plc (formerly Barkby Group plc), the Directors consider that the going concern basis of accounting in preparing the accounts is appropriate.

ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
1
Accounting policies
(Continued)
- 13 -
1.4
Revenue

Revenue is measured based on the consideration specified in a contract with a customer and excludes amounts collected on behalf of third parties. Revenue is recognised when the company transfers control of a product or service to a customer.

 

When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.

1.5
Property, plant and equipment

Property, plant and equipment 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:

Computer equipment
25% p.a. 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 recognised in the income statement.

ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
1
Accounting policies
(Continued)
- 14 -
1.6
Investment property

Investment properties are properties which the Company owns, does not occupy for its own use and are held for either long term rental yields, or capital appreciation, or both. Investment properties also include property that is being developed or constructed for future use as investment property by the Company.

Investment properties comprise freehold land and buildings and are measured at fair value.

At the end of a financial period the fair value are determine by a range of valuation techniques, including independent valuations prepared in accordance with the current edition of the Appraisal and Valuation Standards published by the Royal Institution of Chartered Surveyors and valuations prepared based on the discounted future net cash inflows the site is expected to generate in its forecast use, taking into account the current status of the site and the expected costs to complete the development. The fair value based on these development appraisals, therefore reflects current market conditions, future rental income (where lease agreements have been contractual agreed) and the residual value of site after taking into account the costs and revenue from the development of the property.

There are a number of significant assumptions in these development appraisal valuations and a change in these assumptions could result in a significant change in the fair value of investment properties and therefore have a material effect on the Company’s results.

A transfer to the fair value reserve is made for all fair value gains in the period from retained earnings. Where there have been previous fair value gains transferred to the fair value reserve and fair value losses have been incurred in the year then a transfer is made to retained earnings to offset as much of the fair value losses as possible.

At each subsequent reporting date, investment properties are re-measured to their fair value. Movements in fair value are included in the income statement.

Development properties

Development properties are valued at the lower of cost and net realisable value. Cost includes the costs of purchasing the property and the costs of developing the property to its current condition. When the property has been transferred from investment property, cost includes the fair value of the property at the point it is transferred to development as its deemed cost. Net realisable value reflects the estimated selling price of the property less the costs to complete the development and sell the property.

A transfer from the fair value reserve to retained earnings is made if any realisable value provision is required on any development property where gains had previously been recorded as an investment property.

1.7
Impairment of tangible and intangible assets

At each reporting 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.

ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
1
Accounting policies
(Continued)
- 15 -

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

 

Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.8
Inventories

Inventories are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition.

 

Inventories held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.

 

Net realisable value is the estimated selling price less all estimated costs of completion and costs to be incurred in marketing, selling and distribution.

 

Fair value measurement

IFRS 13 establishes a single source of guidance for all fair value measurements. IFRS 13 does not change when an entity is required to use fair value, but rather provides guidance on how to measure fair value under IFRS when fair value is required or permitted. The resulting calculations under IFRS 13 affected the principles that the company uses to assess the fair value, but the assessment of fair value under IFRS 13 has not materially changed the fair values recognised or disclosed. IFRS 13 mainly impacts the disclosures of the company. It requires specific disclosures about fair value measurements and disclosures of fair values, some of which replace existing disclosure requirements in other standards.

 

1.9
Cash and cash equivalents

Cash and cash equivalents 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.

ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
1
Accounting policies
(Continued)
- 16 -
1.10
Financial assets

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity.

 

Financial assets are classified, at initial recognition, as either subsequently measured at amortised cost, fair value through other comprehensive income (OCI), or fair value through profit or loss. The classification of financial assets at initial recognition depends on the financial asset's contractual cash flow characteristics and the Company's business model for managing them. With the exception of trade receivables that do not contain a significant financing component or for which the Company has applied the practical expedient, the Company initially measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs. Trade receivables that do not contain a significant financing component or for which the Company has applied the practical expedient are measured at the transaction price determined under IFRS 15. Further details of how transaction price is determined for each revenue stream is detailed within the revenues accounting policy.

Financial assets at fair value through profit or loss

Financial assets are classified as at FVTPL when the financial asset is held for trading. This is the case if:

 

Financial assets at FVTPL are stated at fair value with any gains or losses arising on remeasurement recognised in profit or loss. The net gain or loss recognised in profit or loss incorporates any dividend or interest earned on the financial asset. Interest and dividends are included in 'Investment income' and gains and losses on remeasurement included in 'other gains and losses' in the statement of comprehensive income.

Financial assets held at amortised cost

Financial assets with fixed or determinable payments and fixed maturity dates that the Company has the positive intent and ability to hold to maturity are classified as held to maturity investments.

 

Held to maturity investments are measured at amortised cost using the effective interest method less any impairment, with revenue recognised on an effective yield basis.

 

The effective interest method is a method of calculating the amortised cost of a debt instrument and of allocating the interest income over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash receipts through the expected life of the debt instrument to the net carrying amount on initial recognition.

 

Financial assets at amortised cost (debt instruments)

The Company measures financial assets at amortised cost if both of the following conditions are met:

 

Financial assets at amortised cost are subsequently measured using the effective interest (EIR) method and are subject to impairment. Gains and losses are recognised in profit or loss when the asset is derecognised, modified or impaired. The Company's financial assets held at amortised cost includes VAT recoverable and other receivables.

ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
1
Accounting policies
(Continued)
- 17 -
Financial assets at fair value through other comprehensive income

Debt instruments are classified as financial assets measured at fair value through other comprehensive income where the financial assets are held within the company's business model whose objective is achieved by both collecting contractual cash flows and selling financial assets, and the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

 

A debt instrument measured at fair value through other comprehensive income is recognised initially at fair value plus transaction costs directly attributable to the asset. After initial recognition, each asset is measured at fair value, with changes in fair value included in other comprehensive income. Accumulated gains or losses recognised through other comprehensive income are directly transferred to profit or loss when the debt instrument is derecognised.

 

Financial assets classified as available for sale are measured at fair value with gains and losses arising from changes in fair value recognised in other comprehensive income. Where an AFS financial asset is disposed of or determined to be impaired, the cumulative gain or loss previously recognised in other comprehensive income is reclassified to profit or loss.

 

Dividends and interest earned on AFS financial assets are included in the investment income line item in the statement of comprehensive income.

Impairment of financial assets

The Company recognises an allowance for expected credit losses (ECLs) for all debt instruments not held at fair value through profit or loss. ECLs are based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that the Company expects to receive, discounted at an approximation of the original effective interest rate. The expected cash flows will include cash flows from the sale of collateral held or other credit enhancements that are integral to the contractual terms

ECLs are recognised in two stages. For credit exposures for which there has not been a significant increase in credit risk since initial recognition, ECLs are provided for credit losses that result from default events that are possible within the next 12-months (a 12-month ECL). For those credit exposures for which there has been a significant increase in credit risk since initial recognition, a loss allowance is required for credit losses expected over the remaining life of the exposure, irrespective of the timing of the default (a lifetime ECL).

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire, or when it transfers the financial asset and substantially all the risks and rewards of ownership to another entity.

ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
1
Accounting policies
(Continued)
- 18 -
1.11
Financial liabilities

Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through profit or loss, loans and borrowings, payables, or as derivatives designated as hedging instruments in an effective hedge, as appropriate. All financial liabilities are recognised initially at fair value and, in the case of loans and borrowings and payables, net of directly attributable transaction costs. The Company's financial liabilities include trade and other payables and amounts due to related parties.

 

Loans and borrowings

After initial recognition, interest-bearing loans and borrowings are subsequently measured at amortised cost using the EIR method. Gains and losses are recognised in profit or loss when the liabilities are derecognised as well as through the EIR amortisation process. Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR amortisation is included as finance costs in the statement of profit or loss.

Financial liabilities at fair value through profit or loss

Financial liabilities are classified as measured at fair value through profit or loss when the financial liability is held for trading. A financial liability is classified as held for trading if:

 

 

Financial liabilities at fair value through profit or loss are stated at fair value with any gains or losses arising on remeasurement recognised in profit or loss.

Derecognition of financial liabilities

Financial liabilities are derecognised when, and only when, the company's obligations are discharged, cancelled, or they expire.

1.12
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

1.13
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 income statement 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.

ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
1
Accounting policies
(Continued)
- 19 -
Deferred tax

Deferred tax is the tax expected to be payable or recoverable on differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit, and is accounted for using the balance sheet liability method. Deferred tax liabilities are generally recognised for all taxable temporary differences and deferred tax assets are recognised to the extent that it is probable that taxable profits will be available against which deductible temporary differences can be utilised. Such assets and liabilities are not recognised if the temporary 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 income statement, 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.

1.14
Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
- 20 -
2
Critical accounting estimates and judgements

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, 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 estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are outlined below.

 

Valuation of work in progress

The work in progress is valued in the accounts at the lower of cost and estimated selling price less costs to complete and sell. If management consider any changes to the valuation these are processed from when management consider these changes to have occurred.

 

Valuation of Investment Property

The fair value of investment property reflects, amongst other things, assumptions about rental income from future leases and the possible outcome of planning applications in consideration of current market conditions. Where fair value is based on their ultimate redevelopment potential, the valuation has been arrived at based on development appraisals undertaken to estimate the residual value of the landholding after due regard to the cost of, and revenue from, the development of the property.

The Directors’ values reported are based on significant assumptions and a change in fair values could have a material impact on the Group’s results. This is due to the sensitivity of fair value to the assumptions made as regards to variances in development costs compared to management’s own estimates.

 

3
Revenue
2023
2022
£
£
Revenue analysed by class of business
Sale of properties
-
108,671
Rental income
60,138
-
60,138
108,671
2023
2022
£
£
Other income
Interest income
-
75,507
ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
- 21 -
4
Operating loss
2023
2022
Operating loss for the period is stated after charging/(crediting):
£
£
Depreciation of property, plant and equipment
750
601
Cost of inventories recognised as an expense
-
0
27,321
5
Employees

The average monthly number of persons (including directors) employed by the company during the period was:

2023
2022
Number
Number
4
4
6
Investment income
2023
2022
£
£
Interest income
Other interest income
-
0
75,507
7
Finance costs
2023
2022
£
£
Interest on financial liabilities measured at amortised cost:
Interest on bank overdrafts and loans
325,485
116,576
Interest payable to group undertakings
526,130
190,023
851,615
306,599
8
Taxation
2023
2022
£
£
Current tax
UK corporation tax on profits for the current period
(131)
(21,299)
ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
8
Taxation
(Continued)
- 22 -

The charge for the period can be reconciled to the loss per the income statement as follows:

2023
2022
£
£
Loss before taxation
(3,439,947)
(2,561,668)
Expected tax credit based on a corporation tax rate of 21.00% (2022: 19.00%)
(722,251)
(486,717)
Effect of expenses not deductible in determining taxable profit
587,490
590,330
Income not taxable
-
0
(182,349)
Group relief
-
0
57,437
Deferred tax not provided
134,630
-
Taxation credit for the period
(131)
(21,299)
9
Property, plant and equipment
Computer equipment
£
Cost
At 3 July 2022
2,413
At 30 September 2023
2,413
Accumulated depreciation and impairment
At 3 July 2022
1,355
Charge for the period
750
At 30 September 2023
2,105
Carrying amount
At 30 September 2023
308
At 2 July 2022
1,058
ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
- 23 -
10
Investment property
2023
£
Cost
At 3 July 2022
2,159,504
Additions through acquisition
3,524,655
Fair value adjustment
(1,754,159)
At 30 September 2023
3,930,000

Investment properties totalling £3,930,000 are secured by a fixed and floating charge over the properties to which they relate.

 

The Directors’ valuations are based on what is determined to be the highest and best use and professional guidance is utilised where appropriate. When considering the highest we consider the properties actual and potential uses which are physically, legally and financially viable. Where the highest and best use differs from the existing use, then we consider the cost and the likelihood of achieving and implementing this change in arriving at its valuation. In the current period, the Group’s investment properties have been valued by an independent professional valuer in accordance with approved RICS methodology.

11
Inventories
2023
2022
£
£
Work in progress
683,507
1,557,661
Work in progress written off
(683,507)
-
-
1,557,661
12
Trade and other receivables
2023
2022
£
£
Trade receivables
293,510
-
VAT recoverable
9,341
-
Amount owed by parent undertaking
6,943,019
-
0
Amounts owed by fellow group undertakings
-
0
1,328,471
Other receivables
147,422
656,065
Prepayments and accrued income
56,643
40,525
7,449,935
2,025,061
ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
- 24 -
13
Liabilities
Current
Non-current
2023
2022
2023
2022
Notes
£
£
£
£
Borrowings
14
3,063,842
127
582,250
3,622,881
Trade and other payables
15
13,337,896
1,420,690
-
0
-
0
Taxation and social security
-
818,932
-
-
16,401,738
2,239,749
582,250
3,622,881
14
Borrowings
Current
Non-current
2023
2022
2023
2022
£
£
£
£
Borrowings held at amortised cost:
Bank overdrafts
-
127
-
-
Other loans
3,063,842
-
582,250
3,622,881
15
Trade and other payables
2023
2022
£
£
Trade payables
858,834
630,570
Amounts owed to related parties
12,153,117
-
0
Accruals and deferred income
188,188
748,545
Deferred consideration
112,653
8,452
Other payables
25,104
33,123
13,337,896
1,420,690
16
Share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary share of 0.02p each
5,850
5,850
1
1
17
Share premium account
2023
2022
£
£
At the beginning and end of the period
2,145,000
2,145,000
ROADSIDE REAL ESTATE (WELLINGBOROUGH) LIMITED (PREVIOUSLY BARKBY REAL ESTATE DEVELOPMENTS LIMITED)
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE PERIOD ENDED 30 SEPTEMBER 2023
- 25 -
18
Retained earnings
2023
2022
£
£
At the beginning of the period
(2,264,347)
276,022
Loss for the period
(3,439,816)
(2,540,369)
At the end of the period
(5,704,163)
(2,264,347)
19
Related party transactions

The following amounts were outstanding at the reporting end date:

2023
2022
Amounts due to related parties
£
£
Other related parties
12,153,117
3,622,880

Other transactions with related parties

Included in the amount due to related parties is £9,015,123 due to Tarncourt Investments LLP, £3,124,302 due to Roadside Real Estate (Maldon) Ltd and £13,693 due to Charles Dickson all of which are related parties.

The following amounts were outstanding at the reporting end date:

2023
2022
Amounts due from related parties
£
£
Parent company
6,943,019
1,328,472
20
Controlling party

The Company's immediate and ultimate parent company is Roadside Real Estate Plc (formerly Barkby Group Plc). The results of the Company are consolidated in the group financial statements of Roadside Real Estate Plc which are available at www.roadsideplc.com/investor/documents/, or by writing to Roadside Real Estate Plc , 115B Innovation Drive, Milton Park, Abingdon, Oxfordshire, OX14 4RZ. Roadside Real Estate Plc is considered the Company's ultimate controlling party.

2023-09-302022-07-03Mr C E DicksonMr G M Langridge-BrownMr C M ReynoldsMr D A BenziefalseCCH SoftwareiXBRL Review & Tag 2024.2083960022022-07-032023-09-3008396002bus:Director12022-07-032023-09-3008396002bus:Director42022-07-032023-09-3008396002bus:Director22022-07-032023-09-3008396002bus:Director32022-07-032023-09-3008396002bus:RegisteredOffice2022-07-032023-09-30083960022023-09-30083960022021-07-022022-07-0208396002core:RetainedEarningsAccumulatedLosses2022-07-032023-09-3008396002core:RetainedEarningsAccumulatedLosses2021-07-022022-07-02083960022022-07-0208396002core:ComputerEquipment2023-09-3008396002core:ComputerEquipment2022-07-0208396002core:ShareCapital2023-09-3008396002core:ShareCapital2022-07-0208396002core:SharePremium2023-09-3008396002core:SharePremium2022-07-0208396002core:RetainedEarningsAccumulatedLosses2023-09-3008396002core:RetainedEarningsAccumulatedLosses2022-07-0208396002core:SharePremium2021-07-01083960022021-07-0108396002core:FinancialInstrumentsFairValueThroughProfitOrLoss2022-07-032023-09-3008396002core:Held-to-maturityFinancialAssets2022-07-032023-09-3008396002core:FinancialInstrumentsDesignatedFairValueThroughProfitOrLoss2022-07-032023-09-3008396002core:ComputerEquipment2022-07-0208396002core:ComputerEquipment2022-07-032023-09-30083960022022-07-0208396002core:CurrentFinancialInstruments2023-09-3008396002core:CurrentFinancialInstruments2022-07-0208396002core:Non-currentFinancialInstruments2023-09-3008396002core:Non-currentFinancialInstruments2022-07-0208396002core:CurrentFinancialInstrumentscore:WithinOneYear2023-09-3008396002core:CurrentFinancialInstrumentscore:WithinOneYear2022-07-0208396002core:Non-currentFinancialInstrumentscore:AfterOneYear2023-09-3008396002core:Non-currentFinancialInstrumentscore:AfterOneYear2022-07-0208396002core:OtherRelatedParties2023-09-3008396002core:OtherRelatedParties2022-07-0208396002core:ParentEntities2023-09-3008396002bus:PrivateLimitedCompanyLtd2022-07-032023-09-3008396002bus:FRS1012022-07-032023-09-3008396002bus:Audited2022-07-032023-09-3008396002bus:FullAccounts2022-07-032023-09-30xbrli:purexbrli:sharesiso4217:GBP