REGISTERED NUMBER: 04037220 (England and Wales)

Group Strategic Report,

Report of the Directors and

Consolidated Financial Statements

for the Year Ended 31 December 2024

for

Travel Sector Property Limited

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

5

Consolidated Income Statement

7

Consolidated Other Comprehensive Income

8

Consolidated Balance Sheet

9

Company Balance Sheet

10

Consolidated Statement of Changes in Equity

11

Company Statement of Changes in Equity

12

Consolidated Cash Flow Statement

13

Notes to the Consolidated Cash Flow Statement

14

Notes to the Consolidated Financial Statements

15

DIRECTORS:

A E Long

Mrs J Long

REGISTERED OFFICE:

The Old Rectory

Rectory Road

Coleby

Lincoln

Lincolnshire

LN5 0AJ

REGISTERED NUMBER:

04037220 (England and Wales)

AUDITORS:

Wright Vigar Limited

Statutory Auditors

Chartered Accountants & Business Advisers

15 Newland

Lincoln

Lincolnshire

LN1 1XG

The directors present their strategic report of the company and the group for the year ended 31 December 2024.

REVIEW OF BUSINESS

Consolidated group turnover for the year from ordinary activities increased to £9,139,878 from £7,497,342 in 2023.

Consolidated group gross profit increased to £3,172,027 from £2,558,154 in 2023.

The Company and its respective subsidiaries have primarily focused on capital investment in 'operational real estate' assets where the ultimate value is a product of the trading income and rental value that can be generated on a long term sustainable basis. In addition to more traditional freehold investment properties such as the Quinton Fuel Filling Station in Birmingham and what is now known as the TSP Automotive Park at OuterCircle Road in Lincoln, which are each primarily let to third party Tenants, the 'operational real estate' assets significantly include Hotel Polurrian on the Lizard in Cornwall, White Hart Hotel in Bailgate Lincoln and Hotel Victoria in Robin Hood's Bay, North Yorkshire.

Each of the three hotels occupy unique and strong trading locations that are substantially and relatively robust to adverse impacts on the general UK Hotel Sector. Given the long term investment strategy adopted, each Hotel is now very well invested in terms of major capital refurbishment and general improvement works, both for their future reliance and optimum sustainable trading potential. Significantly, this has included the comprehensive full refurbishment of the White Hart Hotel, inclusive of all 49 Bedrooms, as well as creation of the 'all new' Antlers Restaurant and high quality facilities that first opened in December 2023. Capital expenditure has been greater than originally anticipated, but it would not have been appropriate to compromise on the high quality of the refurbishment and 'up grading' works, which have now firmly put the Hotel into it's '4 Star plus' category.

For operation ancillary to the White Hart Hotel, there has also been the acquisition and adaption of 6/7 Castle Hill, together with the acquisition and full refurbishment of Leigh Pemberton House. These provide an additional eight high quality Hotel Bedrooms and also complement the company's subsidiary ownership of the Judge's Lodgings and Former White Hart Garages / 2 Bailgate, Lincoln. That redevelopment and refurbishment scheme has been rescheduled for commencement of Enabling Works Q2 26 in order to focus on the final works at the White Hart Hotel, for which planning & listed building consents have already been obtained for the new pool, gym & sauna facilities. These works are programmed to commence October 25 and subject to receipt of final Statutory Consents, there are also proposals for a new Sky Lounge & Roof Terrace at fourth floor level.

At Hotel Victoria, there has been the opportunity to acquire the freehold interest in the two adjacent former guesthouse properties, now increasing the total number of Bedrooms from 16 to 30. A good quality refurbishment of all three now combined properties has created a significantly more robust trading facility, inclusive of the enhanced 'Osbornes Restaurant' with a new Cocktail Lounge and separate public house style bar & eatery as now named 'The Loxley'. There has also been significant capital investment in the provision of new Garden Terraces for 'Alfresco Dining', together with new customer WCs and other general improvement works.

There has also been a major refurbishment and enhancement of Hotel Polurrian, inclusive of 'up grading' the restaurant & Vista Lounge facilities, together with construction of new garages and other major works to create both 'Shearwater' (2 Bedroom Holiday Cottage) and the new 'Island View Suite'. Planning permission has also been obtained to extend the existing 40 Bedroom Hotel with 10 additional family bedrooms, as well as new Function Suite (120 persons), Spa treatment rooms and a new pool (with glazed retractable roof). This will represent a further capital investment of approximately £8.5m for which Funding has been procured and as scheduled for commencement of main on site works January 26, over a 15 month period to full completion by 31 March 27.

Throughout year ended 31 December 24 there has been significant capital investment in 'Trevean' at Mullion Cove to create an exceptionally high quality 'holiday let' property which was fully completed by 30 June 25. This is now being operated ancillary to Hotel Polurrian as first launched July 25. All PropCo and OpCo entities for the three hotel locations are now wholly owned subsidiaries of the intermediate Loxley Collection (TSP Group) Limited HoldCo entity which is itself a wholly owned subsidiary of the Company. The Judges Lodgings (TSP Investments) Limited redevelopment property assets, along with other property investment assets are separately owned within their respective subsidiary entities and not part of the Loxley Collection sub group.

Following significant disruption to trading from the major capital improvement works at each of the three Hotels locations in FY24, as well as the additional 7 Bedrooms being completed April 25 at Hotel Victoria and the additional 4 Bedrooms added to the White Hart Hotel Inventory, Occupancy Rates have quickly recovered and are being maintained a high level for each location. These can be further summarised as follows:

- Hotel Victoria: 74.8% for Q4 FY24 and now increased to 83.6% for 9 months YTD FY25, in comparison to budget of 87.5% for the same period.

- Hotel Polurrian: 63.8% for Q4 FY24 and now increased to 82.4% for 9 months YTD FY25, in comparison to budget of 77.3% for same period.

- White Hart Hotel: 72.8% for Q4 FY24 and now increased to 77.8% for 9 months YTD FY25, in comparison to budget of 81.3% for same period.

There has also been good growth in the Average Room Rate, together with the Food & Beverage Sales at each location. Where Total Revenue has fallen short of budget for a respective period, there has been a regular review of gross margins and tight control of operating costs to help optimise EBITDA.

Overall trading at each of the three Hotel locations is running generally in line with budget and on course for the projected stabilization of trading, as will be FY27 for Hotel Victoria, FY28 for White Hart Hotel and FY29 for Hotel Polurrian, the latter taking into account the major extension and improvement works as now scheduled for FY26 and as to be fully completed by end of Q1 27.

PRINCIPAL RISKS AND UNCERTAINTIES

The Directors of the Company reviews any risks and uncertainties that are either currently faced by the Company or will potentially be faced by the Company in the future. Measures are then agreed upon to be put in place to mitigate these situations.

The principal risk for the group are the commercial property markets and those of the broader economy and the demand for hotel, leisure, conferences, restaurants, retail, exhibitions and events related activities. The group's property valuations are reviewed annually to reflect fair value and consequently are subject to any changes in the property market which can be outside the control of management. The management of the group has a strong track record of investing, creating and managing market leading properties and property concepts in strong and emerging areas with a high degree of resilience and as such this serves to mitigate the inherent risks of any fluctuating property markets. The Director regularly monitors the market and the development and management of the properties held and managed by the group. Through this process, the Director is confident that these risks are managed as well as possible.

ON BEHALF OF THE BOARD:

A E Long - Director

31 October 2025

The directors present their report with the financial statements of the company and the group for the year ended 31 December 2024.

PRINCIPAL ACTIVITIES

The principal activities of the group in the year under review were those of property consultants and hotel operations.

DIVIDENDS

No dividends will be distributed for the year ended 31 December 2024.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report.

A E Long

Mrs J Long

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Group Strategic Report, the Report of the Directors 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 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 the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

AUDITORS

The auditors, Wright Vigar Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

A E Long - Director

31 October 2025

Opinion

We have audited the financial statements of Travel Sector Property Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2024 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of 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 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the group's and of the parent company affairs as at 31 December 2024 and of the group's loss for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

-	have been prepared in accordance with the requirements of the Companies Act 2006.

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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group 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 other 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 group's and the parent 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 directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

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.

In connection with our audit of the financial statements, 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.

Opinions on other matters prescribed by the Companies Act 2006

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

-	the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors.

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

-	adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

-	the parent company financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page four, 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 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 group's and the parent 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 group or the parent company or to cease operations, or have no realistic alternative but to do so.

Auditors' 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 a Report of the Auditors 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.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Our work is performed to include an assessment of the susceptibility of the entity's financial statements to material misstatement, including the risk of fraud. Owing to the inherent limitations of an audit, there is an unavoidable risk that material misstatements in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK).

In identifying and assessing risk of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:

- We plan our work to gain an understanding of the significant laws and regulations that are of significance to the entity and the sector in which they operate. We perform our work to ensure that the entity is complying with its legal and regulatory framework.

- We obtained an understanding of how the company is complying with those legal and regulatory frameworks by making inquiries to the management and people charged with governance.

We assessed the susceptibility of the Company's financial statements to material misstatement, including how fraud might occur. Audit procedures performed by the engagement team included:

- Substantive procedures performed in accordance with the ISAs (UK).

- Challenging assumptions and judgments made by management in its significant accounting estimates.

- Identifying and testing journal entries, in particular material journal entries and an assessment of year end journals.

- Assessing the extent of compliance with the relevant laws and regulations.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

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 a Report of the Auditors 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.

Paul Colcomb FCCA (Senior Statutory Auditor)

for and on behalf of Wright Vigar Limited

Statutory Auditors

Chartered Accountants & Business Advisers

15 Newland

Lincoln

Lincolnshire

LN1 1XG

31 October 2025

TURNOVER

3

9,139,878

7,497,342

Cost of sales

5,967,851

4,939,188

GROSS PROFIT

3,172,027

2,558,154

Administrative expenses

4,432,947

5,402,548

(1,260,920

)

(2,844,394

)

Other operating income

447,388

34,129

OPERATING LOSS

5

(813,532

)

(2,810,265

)

Gain/loss on revaluation of

land and building

7

13,120,689

-

(13,934,221

)

(2,810,265

)

Income from interest in associated undertakings

12,053

49,000

Interest receivable and similar income

9,181

34,076

21,234

83,076

(13,912,987

)

(2,727,189

)

Interest payable and similar expenses

8

108,035

9,838

LOSS BEFORE TAXATION

(14,021,022

)

(2,737,027

)

Tax on loss

9

(83,919

)

(14,332

)

LOSS FOR THE FINANCIAL YEAR

(13,937,103

)

(2,722,695

)

Loss attributable to:

Owners of the parent

(13,937,103

)

(2,722,695

)

LOSS FOR THE YEAR

(13,937,103

)

(2,722,695

)

OTHER COMPREHENSIVE INCOME

Revaluation of land and buildings

2,458,356

-

Income tax relating to other comprehensive income

-

-

OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX

2,458,356

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(11,478,747

)

(2,722,695

)

Total comprehensive income attributable to:

Owners of the parent

(11,478,747

)

(2,722,695

)

FIXED ASSETS

Intangible assets

11

702,773

705,000

Tangible assets

12

35,431,790

30,703,553

Investments

13

Interest in associate

250

98

Other investments

924,553

918,513

Investment property

14

10,050,794

8,662,217

47,110,160

40,989,381

CURRENT ASSETS

Stocks

15

86,242

81,035

Debtors

16

1,108,943

3,222,999

Cash at bank and in hand

415,309

582,721

1,610,494

3,886,755

CREDITORS

Amounts falling due within one year

17

4,731,540

2,129,565

NET CURRENT (LIABILITIES)/ASSETS

(3,121,046

)

1,757,190

TOTAL ASSETS LESS CURRENT LIABILITIES

43,989,114

42,746,571

CREDITORS

Amounts falling due after more than one year

18

58,091,413

45,538,900

NET LIABILITIES

(14,102,299

)

(2,792,329

)

CAPITAL AND RESERVES

Called up share capital

21

133

100

Share premium

22

168,744

-

Revaluation reserve

22

2,458,356

-

Fair value reserve

22

43,873

43,873

Retained earnings

22

(16,773,405

)

(2,836,302

)

SHAREHOLDERS' FUNDS

(14,102,299

)

(2,792,329

)

The financial statements were approved by the Board of Directors and authorised for issue on 31 October 2025 and were signed on its behalf by:

A E Long - Director

FIXED ASSETS

Intangible assets

11

-

-

Tangible assets

12

107,459

91,757

Investments

13

2,107,565

2,101,372

Investment property

14

1,500,000

678,112

3,715,024

2,871,241

CURRENT ASSETS

Debtors

16

35,293,065

39,632,090

Cash at bank

48,095

143,911

35,341,160

39,776,001

CREDITORS

Amounts falling due within one year

17

235,617

17,355

NET CURRENT ASSETS

35,105,543

39,758,646

TOTAL ASSETS LESS CURRENT LIABILITIES

38,820,567

42,629,887

CREDITORS

Amounts falling due after more than one year

18

55,241,416

42,538,902

NET (LIABILITIES)/ASSETS

(16,420,849

)

90,985

CAPITAL AND RESERVES

Called up share capital

21

133

100

Share premium

22

168,744

-

Fair value reserve

22

43,873

43,873

Retained earnings

22

(16,633,599

)

47,012

SHAREHOLDERS' FUNDS

(16,420,849

)

90,985

Company's loss for the financial year

(16,680,611

)

(319,480

)

The financial statements have been prepared 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 31 October 2025 and were signed on its behalf by:

A E Long - Director

Called up

share

Retained

Share

capital

earnings

premium

£

£

£

Balance at 1 August 2022

100

(113,607

)

-

Changes in equity

Total comprehensive income

-

(2,722,695

)

-

Balance at 31 December 2023

100

(2,836,302

)

-

Changes in equity

Issue of share capital

33

-

168,744

Total comprehensive income

-

(13,937,103

)

-

Balance at 31 December 2024

133

(16,773,405

)

168,744

Fair

Revaluation

value

Total

reserve

reserve

equity

£

£

£

Balance at 1 August 2022

-

43,873

(69,634

)

Changes in equity

Total comprehensive income

-

-

(2,722,695

)

Balance at 31 December 2023

-

43,873

(2,792,329

)

Changes in equity

Issue of share capital

-

-

168,777

Total comprehensive income

2,458,356

-

(11,478,747

)

Balance at 31 December 2024

2,458,356

43,873

(14,102,299

)

Called up

Fair

share

Retained

Share

value

Total

capital

earnings

premium

reserve

equity

£

£

£

£

£

Balance at 1 August 2022

100

366,492

-

43,873

410,465

Changes in equity

Total comprehensive income

-

(319,480

)

-

-

(319,480

)

Balance at 31 December 2023

100

47,012

-

43,873

90,985

Changes in equity

Issue of share capital

33

-

168,744

-

168,777

Total comprehensive income

-

(16,680,611

)

-

-

(16,680,611

)

Balance at 31 December 2024

133

(16,633,599

)

168,744

43,873

(16,420,849

)

Cash flows from operating activities

Cash generated from operations

1

4,060,292

(3,839,800

)

Interest paid

(108,035

)

(9,838

)

Net cash from operating activities

3,952,257

(3,849,638

)

Cash flows from investing activities

Purchase of intangible fixed assets

(42,014

)

(750,000

)

Purchase of tangible fixed assets

(15,765,002

)

(16,341,391

)

Purchase of fixed asset investments

(44,898

)

(306,688

)

Purchase of investment property

(1,388,577

)

(1,597,467

)

Sale of tangible fixed assets

-

23,973

Sale of fixed asset investments

378,298

-

Interest received

9,181

34,076

Dividends received

12,053

49,000

Net cash from investing activities

(16,840,959

)

(18,888,497

)

Cash flows from financing activities

New loans in year

2,850,000

-

Related party loan movement

10,081,223

21,500,000

Amount introduced by directors

-

640,985

Amount withdrawn by directors

(378,710

)

-

Share issue

168,777

-

Net cash from financing activities

12,721,290

22,140,985

Decrease in cash and cash equivalents

(167,412

)

(597,150

)

Cash and cash equivalents at beginning of year

2

582,721

1,179,871

Cash and cash equivalents at end of year

2

415,309

582,721

1.	RECONCILIATION OF LOSS BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

Period

1.8.22

Year Ended

to

31.12.24

31.12.23

£

£

Loss before taxation

(14,021,022

)

(2,737,027

)

Depreciation charges

418,672

206,342

Loss on disposal of fixed assets

13,400

-

Loss on revaluation of fixed assets

13,120,689

-

Profit on disposal of investments

(353,090

)

-

Finance costs

108,035

9,838

Finance income

(21,234

)

(83,076

)

(734,550

)

(2,603,923

)

Increase in stocks

(5,207

)

(61,812

)

Decrease/(increase) in trade and other debtors

2,106,508

(2,179,208

)

Increase in trade and other creditors

2,693,541

1,005,143

Cash generated from operations

4,060,292

(3,839,800

)

2.	CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 December 2024

31.12.24

1.1.24

£

£

Cash and cash equivalents

415,309

582,721

Period ended 31 December 2023

31.12.23

1.8.22

£

£

Cash and cash equivalents

582,721

1,179,871

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.1.24

Cash flow

At 31.12.24

£

£

£

Net cash

Cash at bank and in hand

582,721

(167,412

)

415,309

582,721

(167,412

)

415,309

Debt

Debts falling due after 1 year

(40,800,000

)

(15,931,223

)

(56,731,223

)

(40,800,000

)

(15,931,223

)

(56,731,223

)

Total

(40,217,279

)

(16,098,635

)

(56,315,914

)