Freehold property was purchased from Magnet House Properties Limited, a subsidiary of AXA Plc on 1 January 2002 for £1. The
directors feel that the current market value of the freehold property is £750,000. However due to a clause in the transfer of title
contract, should the freehold property be sold, other than as a Sports and Social Club, then Magnet Properties Limited would be
entitled to 10% of the proceeds during the year ended 31 December 2020. This proportion reduces annually over a twenty year
period from the date of purchase. The directors conclude that it is appropriate to value the property at cost this year.