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

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

Carmel Southend Limited is a private company limited by shares incorporated in England and Wales. The registered office is Acre House, 11-15 William Road, London, United Kingdom, NW1 3ER.

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, modified to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

The directors have considered the effect on the Company’s activities of the current global economic challenges. Despite economic conditions, the Directors have determined that due to the diverse portfolio of the Company there is limited risk in relation to tenants not fulfilling their rental and other obligations. To date, the company has not experienced difficulties in receiving rental amounts due from tenants. The members have refinanced their property portfolio on expiry of their existing loan facilities in September 2025. Please see note 9 for more detail.true

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.

Turnover represents rental income, property insurance premiums, service charges receivable, insurance claims and dilapidations receivable excluding value added tax.

Recognition of rental income takes into account the terms of the lease including any lease incentives which are spread over the length of the lease.

Property insurance premiums and service charges receivable are recognised over the period it relates to. Where the tenant pays in advance, the company defers that amount and recognises it as turnover over the period it relates to on a straight line basis.

Insurance claims are recognised when the right to receive payment is established.

Where the right to consideration arises from the occurrence of a critical event the turnover is recognised when the event occurs.

Tangible fixed assets are measured at cost, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following bases:

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. The gain or loss on valuation is recognised in profit or loss and is subsequently transferred within equity to the "investment property reserve" together with the associated deferred tax.

At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). The impairment loss (if any) is recognised in the profit and loss account.

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, 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.

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

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, including creditors and non bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

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

The tax expense represents the sum of the tax currently payable and deferred 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 liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

The costs of short-term employee benefits are recognised as a liability and an expense.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

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.

Investment property reserve

The investment property reserve comprises the fair value uplift on the company's investment property net of the associated deferred tax. Any movement in the fair value of the investment property and/or the deferred tax associated with it during the year is transferred from the profit and loss account into this reserve as a reserve movement in the Statement of Changes in Equity. The reserve is non-distributable.

Investments

Investments comprise investments in listed shares which are initially measured at transaction price excluding transaction costs and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised through profit and loss.

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

Investment properties are stated at fair value with changes in fair value being recognised in the profit and loss account. The fair value of the investment properties have been arrived at on the basis of a valuation carried out in August 2025 by Knight Frank LLP Chartered Surveyors. The directors do not consider there to be any material changes to the fair value of the investment properties from the balance sheet date and August 2025 when the valuation took place and therefore believe the fair value of the investment properties recognised in the accounts is not materially misstated. Making this assessment requires judgements to be made by the directors by reference to market conditions.

Deferred tax has been recognised on the investment property based on the estimated fair value at the year-end date.

As at 31 March 2025, Carmel Southend Limited was owed £4,246,634 (2024: £4,269,365) by Grammont Properties Limited. The balance is considered to be recoverable. Therefore, as at 31 March 2025, no provision is required.

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

The fair value of the investment properties has been arrived at on the basis of a valuation carried out in August 2025 by Knight Frank Chartered Surveyors, who are not connected with the company. The valuation has been carried out using the investment method whereby market values of the freehold and leasehold interests in the properties have been derived, subject to existing tenancies and taking into account comparable investment and rental transactions, together with evidence of demand with the vicinity of the subject properties.

The directors do not consider there to be any material changes to the fair value of the investment properties from the balance sheet date and August 2025 when the valuation took place and therefore believe the fair value of the investment properties recognised in the accounts is not materially misstated.

The historic cost of the investment properties held by the company as at 31 March 2025 is £15,122,066 (2024: £14,713,858).

Included within other debtors is £1,097,910 (2024: £852,220) owed by a related entity.

All balances due from group undertakings and related entities are interest free and repayable on demand.

Listed investments are stated at the market value at the balance sheet date and is based on the market value of the investments as provided by the investment brokers.

The maturity date of the non bank loans is 17 September 2025. The company had non bank loans principal of £14,127,896. As at 31 March 2025, the loan had a net carrying value of £14,122,586 (2024: £14,028,178) after amortised transaction costs. These are secured by a legal charge over certain assets of the company. Interest is payable quarterly at an interest rate of 2.7% per annum. The principal amount of the non bank loans is repaid on maturity.

On 18 September 2025 the company refinanced its bank loans. The new maturity date of the bank loans is 17 September 2030.

After the refinancing on 18 September 2025, the company and two connected companies had bank loans of £39,950,000. These are secured by a legal charge over the assets of the company, as well as by a cross-guarantee given by the other companies under the control of the directors. The rate of interest is variable based on the aggregate of the applicable margin and the SONIA rate for the day. Interest is payable quarterly. The principal amounts of the bank loans is repaid on maturity.

Included within other creditors is £901,894 (2024: £704,337) owed to related entities. This amount is unsecured, interest free and repayable on demand.

The non bank loan has been reclassified to creditors due within one year, see note 9 for further details.

The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:

The company has given cross party guarantees with group and related entities for non bank loans provided to these entities. At the balance sheet date, the non bank loan principal owed to lenders by these related entities for the non bank loans was £24,372,134 (2024: £24,372,134).

As the profit and loss account has been omitted from the filing copy of the financial statements the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:

The auditor's report is unqualified and includes the following:

In our opinion the financial statements:

• give a true and fair view of the state of the company's affairs as at 31 March 2025 and of its profit 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.

At the beginning of the year, the company owed directors £53,832 (2024: £64,130). During the year advances of £460,979 (2024: £481,871) were made and repayments of £608,779 (2024: £481,871) were made. Interest of £nil (2024: £nil) was accrued on overdrawn amounts throughout the year. At the year end, the company owed the directors £201,632 (2024: £53,832) and this is included within other creditors.

The non bank loans due for maturity on 17 September 2025 were refinanced on 18 September 2025, see note 9 for further details.