Company Registration No. 10499273 (England and Wales)
ACRE CITY LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
PAGES FOR FILING WITH REGISTRAR
ACRE CITY LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 5
ACRE CITY LIMITED
BALANCE SHEET
AS AT 31 DECEMBER 2023
31 December 2023
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
3
18,348,839
13,387,742
Current assets
Debtors
4
5,455,354
1,142,889
Cash at bank and in hand
680
537,829
5,456,034
1,680,718
Creditors: amounts falling due within one year
5
(13,776,788)
(7,736,824)
Net current liabilities
(8,320,754)
(6,056,106)
Total assets less current liabilities
10,028,085
7,331,636
Creditors: amounts falling due after more than one year
6
(12,413,278)
(8,334,575)
Net liabilities
(2,385,193)
(1,002,939)
Capital and reserves
Called up share capital
7
4
4
Profit and loss reserves
(2,385,197)
(1,002,943)
Total equity
(2,385,193)
(1,002,939)

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

For the financial year ended 31 December 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the board of directors and authorised for issue on 28 March 2025 and are signed on its behalf by:
K Pankhania
Director
Company Registration No. 10499273
ACRE CITY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -
1
Accounting policies
Company information

Acre City Limited is a private company limited by shares incorporated in England and Wales. The registered office is 7 Churchill Court, 58 Station Road, Harrow, Middlesex, HA2 7SA, United Kingdom.

1.1
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 disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

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. The principal accounting policies adopted are set out below.

1.2
Going concern

The company is supported by a bank loan, loans from the directors and other connected companies. Accordingly, at the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operation for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.true

1.3
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:

Assets under the course of construction
2% Straight Line

Freehold land and assets in the course of construction are not depreciated.

Buildings are not depreciated until they are put in use for trading.

 

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.

1.4
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.

1.5
Finance cost
Finance cost attributable to borrowings to acquire and develop the assets under the course of construction is recognised as an expense in the period in which it arises.
1.6
Cash at bank and in hand

Cash at bank and in hand are basic financial assets and include cash in hand and deposits held at call with banks.

ACRE CITY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 3 -
1.7
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 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.

1.8
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs.

1.9
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.

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.

 

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. 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.

ACRE CITY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 4 -
2
Employees

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

2023
2022
Number
Number
Total
1
1
3
Tangible fixed assets
Assets under the course of construction
£
Cost
At 1 January 2023
13,387,742
Additions
4,961,097
At 31 December 2023
18,348,839
Depreciation and impairment
At 1 January 2023 and 31 December 2023
-
0
Carrying amount
At 31 December 2023
18,348,839
At 31 December 2022
13,387,742
4
Debtors
2023
2022
Amounts falling due within one year:
£
£
Other debtors
5,452,812
1,116,199
Prepayments and accrued income
2,542
26,690
5,455,354
1,142,889
ACRE CITY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 5 -
5
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans and overdrafts
215,580
-
0
Trade creditors
10,914,946
5,486,143
Corporation tax
152,968
13
Other taxation and social security
16,562
-
0
Other creditors
2,403,014
2,208,530
Accruals and deferred income
73,718
42,138
13,776,788
7,736,824
6
Creditors: amounts falling due after more than one year
2023
2022
£
£
Bank loans and overdrafts
10,838,697
7,749,218
Other borrowings
1,574,581
585,357
12,413,278
8,334,575

A prior year adjustment has been made to reclassify a balance relating to accrued interest of £266,530 in the comparative figures for the period ended 31 December 2022 from other borrowings to other creditors. This classification better reflects the circumstances and nature of the balance and is consistent with the current year classification.

 

The bank loan is secured on fixed and floating charges over the property and undertaking of the company; a security over the shares of the company and over the shareholders' subordinated debts.

Creditors which fall due after five years are as follows:
2023
2022
£
£
Payable other than by instalments
12,168,602
8,334,575
7
Called up share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
4
4
4
4
8
Related party transactions

The company paid rent at market rate totalling £84,275 (2022: £55,808) in respect of the commercial properties owned by a partnership business in which one of the directors is a partner.

2023-12-312023-01-01falsefalsefalse28 March 2025CCH SoftwareCCH Accounts Production 2024.310No description of principal activityK PankhaniaS PankhaniaV Pankhania104992732023-01-012023-12-31104992732023-12-31104992732022-12-3110499273core:LandBuildings2023-12-3110499273core:LandBuildings2022-12-3110499273core:CurrentFinancialInstrumentscore:WithinOneYear2023-12-3110499273core:CurrentFinancialInstrumentscore:WithinOneYear2022-12-3110499273core:Non-currentFinancialInstrumentscore:AfterOneYear2023-12-3110499273core:Non-currentFinancialInstrumentscore:AfterOneYear2022-12-3110499273core:CurrentFinancialInstruments2023-12-3110499273core:CurrentFinancialInstruments2022-12-3110499273core:Non-currentFinancialInstruments2023-12-3110499273core:Non-currentFinancialInstruments2022-12-3110499273core:ShareCapital2023-12-3110499273core:ShareCapital2022-12-3110499273core:RetainedEarningsAccumulatedLosses2023-12-3110499273core:RetainedEarningsAccumulatedLosses2022-12-3110499273bus:Director12023-01-012023-12-3110499273core:LandBuildingscore:OwnedOrFreeholdAssets2023-01-012023-12-31104992732022-01-012022-12-3110499273core:LandBuildings2022-12-3110499273core:LandBuildings2023-01-012023-12-3110499273bus:PrivateLimitedCompanyLtd2023-01-012023-12-3110499273bus:FRS1022023-01-012023-12-3110499273bus:AuditExemptWithAccountantsReport2023-01-012023-12-3110499273bus:Director22023-01-012023-12-3110499273bus:Director32023-01-012023-12-3110499273bus:SmallCompaniesRegimeForAccounts2023-01-012023-12-3110499273bus:FullAccounts2023-01-012023-12-31xbrli:purexbrli:sharesiso4217:GBP