Summit Developments (Kent) Limited Filleted accounts for Companies House (small and micro)

COMPANY REGISTRATION NUMBER: 11357672

Summit Developments (Kent) Limited

Filleted Financial Statements

31 March 2025

Summit Developments (Kent) Limited

Statement of Financial Position

31 March 2025

	2025	2024
		(restated)
Note	£	£

Fixed assets

Tangible assets	5	6,507,796	6,646,597

Current assets

Debtors	6	108,322	799,402
Cash at bank and in hand		445	7,244
		---------	---------
		108,767	806,646

Creditors: amounts falling due within one year	7	9,397,863	8,867,487
		------------	------------
Net current liabilities		9,289,096	8,060,841
		------------	------------
Total assets less current liabilities		( 2,781,300)	( 1,414,244)
		------------	------------

Capital and reserves

Called up share capital	100	100
Profit and loss account	( 2,781,400)	( 1,414,344)
	------------	------------
Shareholders deficit	( 2,781,300)	( 1,414,244)
	------------	------------

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies' regime and in accordance with Section 1A of FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

In accordance with section 444 of the Companies Act 2006, the statement of income and retained earnings has not been delivered.

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.

These financial statements were approved by the board of directors and authorised for issue on 3 June 2026 , and are signed on behalf of the board by:

Mr P Cummins

Director

Company registration number: 11357672

Summit Developments (Kent) Limited

Notes to the Financial Statements

Year ended 31 March 2025

1. General information

The company is a private company limited by shares, registered in England and Wales. The address of the registered office is Broome Park Golf & Country Club, Barnham, Canterbury, Kent, CT4 6QX, England.

2. Statement of compliance

These financial statements have been prepared in compliance with Section 1A of FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through profit or loss.

The financial statements are prepared in sterling, which is the functional currency of the entity.

Going concern

The directors have considered the appropriateness of the going concern basis in preparing the financial statements. As at 31 March 2025, the company had net liabilities of £2.78m. At that date, the company owed £9.07m to a related party under common control. The company is currently dependent on financial support from this related party, as it does not generate sufficient cash flows to meet its liabilities as they fall due and would be unable to repay this loan if it were to be recalled. The company owns a hotel which is operated by another entity under common control. Whilst this arrangement is expected to generate income in the longer term, the company currently has limited revenue and remains reliant on continued financial support from its related party to fund its operations and settle its obligations as they fall due. The directors have obtained confirmation from the related party that it will not demand repayment of its loan for a period of at least 12 months from the date of approval of these financial statements, where doing so would jeopardise the company's ability to continue as a going concern. In addition, the related party has confirmed its intention to continue to provide financial support to the company for the same period to enable the company to meet its liabilities as they fall due. Based on the above, the directors are satisfied that the company will have access to adequate resources to continue in operational existence for the foreseeable future. Accordingly, they continue to adopt the going concern basis in preparing the financial statements.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Classification of freehold hotel property: The company owns the freehold of a hotel property, which is operated by a related entity under common control. Management has exercised judgement in determining the appropriate classification of this property within the financial statements. Under FRS 102, investment property is defined as property held to earn rentals and/or for capital appreciation. Although the property is legally occupied and operated by a related entity, management has considered the substance of the arrangement, including the nature of the relationship between the entities and the purpose for which the property is held. The property is used within a wider set of commonly controlled operations and is not exposed to market-based rental returns in the same way as a typical investment property. Accordingly, management does not consider the property to be held primarily to generate rental income or for capital appreciation. Management has therefore concluded that the property is more appropriately classified as a freehold tangible fixed asset and accounted for under Section 17 of FRS 102, rather than as an investment property under Section 16. This classification represents a key area of judgement, as an alternative treatment (classification as investment property) would result in the property being measured at fair value with movements recognised in profit or loss.

Revenue recognition

Revenue comprises rental income receivable from the leasing of land and buildings. Rental income is recognised in the statement of profit or loss on a straight-line basis over the term of the lease, in accordance with the accruals principle, regardless of the timing of cash receipts. Lease incentives, including rent-free periods, are spread over the lease term on the same basis. Rental income is stated net of VAT. Revenue from the rendering of services is measured by reference to the stage of completion of the service transaction at the end of the reporting period provided that the outcome can be reliably estimated. When the outcome cannot be reliably estimated, revenue is recognised only to the extent that it is probable the expenses recognised will be recovered.

Income tax

The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date. Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other 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. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference. The freehold property has been accounted for on the basis that it has been opted to tax, subject to approval from the tax authorities.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in equity, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in equity in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in equity in respect of that asset, the excess shall be recognised in profit or loss.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Freehold property	-	2% straight line
Fixtures and fittings	-	20% straight line

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets. For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the company are assigned to those units.

Financial instruments

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in other administrative expenses. Loans and borrowings are initially recognised at the transaction price including transaction costs. Subsequently, they are measured at amortised cost using the effective interest rate method, less impairment. If an arrangement constitutes a finance transaction it is measured at present value.

4. Employee numbers

The average number of persons employed by the company during the year amounted to 2 (2024: 1 ).

5. Tangible assets

	Freehold property	Fixtures and fittings	Total
	£	£	£
Cost
At 1 April 2024 (as restated) and 31 March 2025	6,870,073	154,733	7,024,806
	------------	---------	------------
Depreciation
At 1 April 2024	330,359	47,850	378,209
Charge for the year	107,854	30,947	138,801
	------------	---------	------------
At 31 March 2025	438,213	78,797	517,010
	------------	---------	------------
Carrying amount
At 31 March 2025	6,431,860	75,936	6,507,796
	------------	---------	------------
At 31 March 2024	6,539,714	106,883	6,646,597
	------------	---------	------------

6. Debtors

	2025	2024
		(restated)
	£	£
Other debtors	108,322	799,402
	---------	---------

7. Creditors: amounts falling due within one year

	2025	2024
		(restated)
	£	£
Trade creditors	8,587	–
Social security and other taxes	–	488
Other creditors	9,389,276	8,866,999
	------------	------------
	9,397,863	8,867,487
	------------	------------

8. Prior period errors

During the year, the directors undertook a detailed review of the accounting treatment of a loan with an external company that is connected to the Company. This review identified that certain balances had not been presented correctly. As a result, comparative figures have been restated to correct the classification and presentation of the loan balance at the prior year end. The prior year adjustment resulted in both other debtors and other creditors being reduced by £318,804. These adjustments relate solely to the statement of financial position and do not affect profit or loss for the prior year. Consequently, there is no impact on retained earnings or total equity at the beginning of the period.

9. Summary audit opinion

The auditor's report dated 3 June 2026 was unqualified .

The senior statutory auditor was Daniel Proctor ACA , for and on behalf of Burgess Hodgson Audit Limited .

10. Related party transactions

The Company entered into a three-year lease from June 2024 with a related party under common control for the use of its freehold property. The rent is set at a peppercorn amount for the first year, with the level of rent in subsequent years to be agreed between the parties.