MORECO PROPERTY LIMITED

FINANCIAL STATEMENTS

FOR THE PERIOD

29TH DECEMBER 2024 TO 3RD JANUARY 2026

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

R S Nijjar

A Hussain

B S Nijjar

V H Shah

REGISTERED OFFICE:

Second Floor Park View

Riverside Way

Camberley

Surrey

GU15 3YL

REGISTERED NUMBER:

13536906 (England and Wales)

AUDITORS:

HW Bedford Limited

First Floor, Woburn Court

2 Railton Road

Woburn Rd Ind Est

Kempston

Bedfordshire

MK42 7PN

FIXED ASSETS

Tangible assets

4

5,074,954

5,156,255

CURRENT ASSETS

Debtors

5

12,769,025

15,650,551

Cash at bank

1,296

-

12,770,321

15,650,551

CREDITORS

Amounts falling due within one year

6

6,802,724

12,125,318

NET CURRENT ASSETS

5,967,597

3,525,233

TOTAL ASSETS LESS CURRENT LIABILITIES

11,042,551

8,681,488

CREDITORS

Amounts falling due after more than one year

7

1,264,630

-

NET ASSETS

9,777,921

8,681,488

CAPITAL AND RESERVES

Called up share capital

9

1

1

Other reserves

21,637,910

21,637,910

Retained earnings

(11,859,990

)

(12,956,423

)

SHAREHOLDERS' FUNDS

9,777,921

8,681,488

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

In accordance with Section 444 of the Companies Act 2006, the Statement of Comprehensive Income has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 24th August 2026 and were signed on its behalf by:

V H Shah - Director

1.	STATUTORY INFORMATION

Moreco Property Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The financial statements are presented in sterling which is the functional currency of the company and rounded to the nearest £.

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

Related party exemption

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Significant judgements and estimates

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

i) Impairment of tangible fixed assets

The Company tests whether tangible fixed assets are impaired where there are indicators that there is a risk of impairment. This requires an estimation of the value in use of the cash-generating units in which these assets reside. The assessment of value in use is compared to the carrying value of assets. This requires estimation of future cash flows.

Revenue recognition

Revenue is measured at the fair value of consideration received or receivable and represents amounts receivable for rental of property provided in the normal course of business, net of discounts, VAT and other sales related taxes.

Rental income is recognised on an accrual basis.

Tangible fixed assets

Tangible fixed assets are stated at historical cost less accumulated depreciation. Historical cost includes the original purchase price and expenditure directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

The company adds to the carrying amount of any item of tangible fixed assets the cost of replacing parts of such an item when the cost is incurred if the replacement part is expected to provide incremental future benefits to the company. The carrying amount of the replaced part is derecognised. All other repairs and maintenance are charged to the income statement during the period in which they are incurred. Assets in the course of construction are stated at cost. These assets are not depreciated until they are available for use.

Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset on the following basis:

Land

Not depreciated

Freehold Property

50 years straight line

Plant and Machinery

5 years straight line

Furniture & Fixtures

5 years straight line

The assets residual values and useful lives are reviewed and adjusted if appropriate, at the end of each reporting period, the effect of any change is accounted for prospectively.

Taxation

Taxation for the period comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the period end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Cash and cash equivalents

Cash and cash equivalents includes cash in hand, deposits held at call with banks, other short term highly liquid investments with original maturities of three months or less and bank overdrafts.

Trade and other debtors

Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method less impairment losses for bad and doubtful debts except where the effect of discounting would be immaterial. In such cases the receivables are stated at cost less impairment losses for bad and doubtful debts.

Trade and other creditors

Trade and other creditors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest rate method, unless the effect of discounting would be immaterial, in which case they are stated at cost.

Financial instruments

The company has chosen to adopt Sections 11 and 12 of FRS 102 in respect of financial instruments.

i) Financial assets

Basic financial assets, including trade and other receivables, cash and bank balances, are initially recognised at transaction price.

Such assets are subsequently carried at amortised cost using the effective interest method.

At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) despite having retained some significant risks and rewards of ownership, control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

ii) Financial liabilities

Basic financial liabilities, including trade and other payables, bank loans and loans from fellow group companies, are initially recognised at transaction price.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

Share capital

Ordinary shares are classified as equity.

Going concern

The Directors have conducted a comprehensive review of the Company's financial position and its ability to continue as a going concern, in accordance with the principles set out in UK GAAP (FRS 102, Section 3.8). This assessment has considered the Company's operations, cash flows, liquidity, and broader financial arrangements within the context of the business environment in which it operates.

Furthermore, in assessing the Company's ability to continue as a going concern, the Directors have prepared cash flow forecasts for a period of not less than twelve months from the date of signing these accounts. These forecasts take into account the Company's current financial position, the expected impact of the strategic measures implemented, and the continued support from our parent company. Based on these forecasts and current financial indicators, the Directors believe that the Company has adequate resources to continue in operational existence for the foreseeable future.

Accordingly, the financial statements have been prepared on a going concern basis, reflecting the Directors' belief that the Company will continue to meet its liabilities as they fall due.

On this basis, the Directors of the Company believe it is appropriate to continue to adopt the going concern basis of accounting in preparing these financial statements.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the period was NIL (2024 - NIL).

4.	TANGIBLE FIXED ASSETS

Fixtures

Freehold

Plant and

and

property

machinery

fittings

Totals

£

£

£

£

COST

At 29th December 2024

and 3rd January 2026

5,891,930

73,704

2,026,666

7,992,300

DEPRECIATION

At 29th December 2024

735,770

73,609

2,026,666

2,836,045

Charge for period

81,426

63

(188

)

81,301

At 3rd January 2026

817,196

73,672

2,026,478

2,917,346

NET BOOK VALUE

At 3rd January 2026

5,074,734

32

188

5,074,954

At 28th December 2024

5,156,160

95

-

5,156,255

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2026

2024

£

£

Trade debtors

16,200

-

Amounts owed by group undertakings

-

4,112,293

Amounts owed by participating interests

12,280,000

11,280,000

Other debtors

48,218

-

Prepayments and accrued income

424,607

258,258

12,769,025

15,650,551

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2026

2024

£

£

Bank loans and overdrafts

-

5,410

Trade creditors

365,564

307,347

Amounts owed to participating interests

6,380,000

11,280,000

Other creditors

-

32,547

Accruals and deferred income

57,160

500,014

6,802,724

12,125,318

7.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2026

2024

£

£

Amounts owed to group undertakings

1,264,630

-

8.	SECURED DEBTS

The following secured debts are included within creditors:

2026

2024

£

£

Amounts owed to participating

6,380,000

11,280,000

Borrowings, security, and cross-guarantees

The Company has granted a number of legal charges over its investment properties in favour of Barclays Bank PLC as security for the wider banking facilities made available to Moreco Group Limited (the "Principal Debtor"). Each legal charge secures all monies and liabilities of the Company and the Principal Debtor to Barclays and includes fixed charges over the relevant property, assignments of rental income and insurance proceeds, and a restriction on title requiring lender consent for disposals.

In addition, the Company is party to a group-wide debenture dated 27 October 2025 in favour of Barclays Bank PLC, creating fixed and floating charges over all assets of the Company and cross guaranteeing the obligations of other group entities.

A loan was perviously received from a company with common directors. The loan is secured by a debenture over the assets of Moreco Property Limited. The loan is interest free and repayable on demand; however, repayment is restricted by the terms of the existing security arrangements.

Intercompany loan subordination

The Company acts as a guarantor of the wider group's obligations. Intercompany balances between the Company and Moreco Group Limited are subordinated to the secured lenders and are not repayable without lender consent.

9.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2026

2024

value:

£

£

115,000,101

Ordinary

£1

1

1

10.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Alberto Di Lorenzo FCA (Senior Statutory Auditor)

for and on behalf of HW Bedford Limited

11.	ULTIMATE PARENT AND CONTROLLING PARTIES

The immediate Parent Company of Moreco Property Limited is Moreco Group Limited, a Company registered in the United Kingdom. The ultimate parent company is Moreco Holdco Limited, a Company registered in the United Kingdom. The Directors consider the ultimate controlling Parties to be Mr A Hussain and Mr R S Nijjar.

These financial statements are consolidated within the consolidated financial statements of Moreco Holdco Limited. The consolidated accounts can be obtained from the head office, Second Floor Park View, Riverside Way, Camberley, England, GU15 3YL.

12.	RELATED PARTY TRANSACTIONS

All transactions are conducted under normal commercial terms.

During the year, the Company charged rental fees and other recharges of £2,820,488 and £191,274 respectively (2024: £2,073,054 and £71,605) to Moreco Group Limited, the immediate parent of Moreco Property Limited. At year end, an amount of £1,264,630 was due to them (2024: £4,112,293 due by them).

In addition, the Company previously received a loan from a Company with common directors, which was advanced to another Company with common directors. At year end, an amount of £6,380,000 and £12,280,000 was due to and from them respectively (2024: £11,280,000).

13.	POST BALANCE SHEET EVENTS

During March 2026, the Company completed the disposal of its property at 7a Thorpe Drive, Banbury, for total consideration of £475,000. The disposal does not provide evidence of conditions that existed at the reporting date of 3 January 2026, and is therefore treated as a non-adjusting event.

During May 2026, the Company completed the disposal of its property at Highlands Farm, Brook Street, Erith, for total consideration of £2,315,000. The disposal does not provide evidence of conditions that existed at the reporting date of 3 January 2026, and is therefore treated as a non-adjusting event.

During May 2026, the Company completed the disposal of its property at North West of Manor Road, Swindon, for total consideration of £650,000. The disposal does not provide evidence of conditions that existed at the reporting date of 3 January 2026, and is therefore treated as a non-adjusting event.

As a result, the carrying amounts of assets at the balance sheet date have not been adjusted. The proceeds and the resulting gain or loss will be recognised in the subsequent reporting period.