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

The directors of the company have elected not to include a copy of the income statement within the financial statements.true

Lydling Properties (Kensington) LimitedLYDLING PROPERTIES (KENSINGTON) LIMITED is a private company limited by shares incorporated in England and Wales. The registered office is 2nd Floor, Regis House, 45 King William Street, London, United Kingdom, EC4R 9AN.

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, except for investment properties and freehold land and buildings, which are measured at fair value. The principal accounting policies applied in the preparation of these financial statements are set out below.

At the time of approving the financial statements, the directors have a reasonable expectation that the truegroup has adequate resources to continue in operational existence for the foreseeable future.

The directors therefore continue to adopt the going concern basis of accounting in preparing the financial statements.

Turnover represents the fair value of the consideration received or receivable for the rental of properties in the ordinary course of the company’s principal activities. Revenue from property rentals is recognised on a straight line basis over the term of the lease, reflecting the pattern of benefits derived from the use of the property. Turnover is measured at the invoiced amount, excluding value added tax, and is stated net of any rent-free periods, rebates, or other incentives granted to tenants.

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:

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. Changes in fair value are recognised in profit or loss.

Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

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 statement of financial position 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 liabilities are derecognised when the company’s contractual obligations expire or are discharged

cancelled.

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, bank loans, loans from fellow group companies and preference shares 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.

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 costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

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

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

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 estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Investment properties are held at valuation based on the directors estimate of the current market value which is supported by the recommendations of an independent qualified external valuer. There is a degree of judgement involved in such valuations which gives rise to an estimation uncertainty. Valuations are reassessed annually and amended when necessary to reflect current market values.

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

The fair value of the company's freehold property was revalued on 5 February 2025 by an independent valuer, Savills Chartered Surveyors, who are external to the company, in accordance with guidelines in issue by The Royal Institution of Chartered Surveyors. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.

Had this class of asset been measured on a historical cost basis, the carrying amount would have been £4,290,874 (2024: £4,290,874).

Investment property comprises of two flats. The fair value of the company's investment properties was revalued on 5 February 2025 by an independent valuer, Savills Chartered Surveyors, who are external to the company, in accordance with guidelines in issue by The Royal Institution of Chartered Surveyors. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.

Details of the company's subsidiaries at 31 August 2025 are as follows:

On 25 February 2026 the company sold its entire shareholding in Sally Clarke (Westbourne Grove) Limited to a third party.

On 26 February 2026 Notting Hill Bakery entered administration following which the trade and assets of the company were sold. The company has since changed its name to NHB 2026 Limited.

Due after more than one year:

£18,750 (2024 - £18,750) of other debtors is classified as due after more than one year.

Unsecured loans, all of which are subordinated to the bank loans, include an unsecured loan from the director, S.V. Clarke, amounting to £227,462 (2024: £252,451). This loan is repayable on demand.

The bank loans amount to a total of £2,534,959 (2024: £2,207,189) and are secured by a legal first charge on the company's premises at 122 and 124 Kensington Church Street, London, and a fixed and floating charge on all of the assets of the company. These loans must be repaid in full no later than 24 March 2025. Interest is payable at 3.83% (2024 - 3.83%) above the Bank of England base rate.

The whole of the issued share capital (2024 - whole) is owned, by the immediate parent, Lydling Holdings Limited (see note 13) and consequently no consolidated accounts are produced for Lydling Properties (Kensington) Limited.

As the income statement 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 August 2025 and of its 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.

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:

The company's immediate parent is Lydling Holdings Limited, incorporated in England and Wales.

The company is ultimately controlled by Samuel Morton Morris.