Lenel Properties LLP

Notes to the Financial Statements for the Year Ended 31 December 2025

1	Accounting policies

Summary of significant accounting policies and key accounting estimates

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

Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A - 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006 as applied to limited liability partnerships.

General information and basis of accounting

The LLP is registered in Northern Ireland and the Registered Number is NC000330. The address of the registered office is given on the limited liability partnership information page. The nature of the limited liability partnership’s operations and its principal activities are given in the members’ report.

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

The functional currency of Lenel Properties LLP is considered to be pounds sterling because that is the currency of the primary economic environment in which the limited liability partnership operates.

Revenue recognition

Rental income comprises rent receivable under operating leases from the letting of the limited liability partnership’s investment property, excluding value added tax. It is recognised in the profit and loss account on a straight-line basis over the term of the lease. Rent received in advance is included in creditors as deferred income, and rent due but not yet received is included in debtors. Rental income is presented within other operating income.

Members' remuneration and division of profits

The Statement of Recommended Practice ‘Accounting by Limited Liability Partnerships’ (the SORP) recognises that the basis of calculating profits for allocation may differ from the profits reflected through the financial statements prepared in compliance with recommended practice.

Under the members’ agreement all profits are automatically divided equally between the members. Accordingly, profits are treated as members’ remuneration charged as an expense in the profit and loss account and the related liability is included within loans and other debts due to members.

Taxation

The taxation payable on the partnership's profits is the personal liability of the members, although payment of such liabilities is administered by the partnership on behalf of its members. Consequently, neither partnership taxation nor related deferred taxation is accounted for in these financial statements. Sums set aside in respect of members' tax obligations are included in the balance sheet within loans and other debts due to members, or are set against amounts due from members as appropriate.

Investment properties

Investment properties for which fair value can be measured reliably without undue cost or effort on an ongoing basis are measured at fair value annually with any change recognised in the profit and loss account.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Fair value measurement

The best evidence of fair value is a quoted price for an identical asset in an active market. When quoted prices are unavailable, the price of a recent transaction for an identical asset provides evidence of fair value as long as there has not been a significant change in economic circumstances or a significant lapse of time since the transaction took place. If the market is not active and recent transactions of an identical asset on their own are not a good estimate of fair value, the fair value is estimated by using a valuation technique.

Lenel Properties LLP

Notes to the Financial Statements for the Year Ended 31 December 2025

2	Particulars of employees

The average number of persons employed by the limited liability partnership during the year was 2 (2024 - 2).

3	Investment property

	2025 £
At 1 January	360,000

The investment property is valued annually at 31 December at fair value by the members of the LLP by reference to similar properties in the locality of the property. A formal valuation by qualified professional valuers has not been carried out.

4	Creditors: Amounts falling due within one year

	2025 £	2024 £
Other creditors	5,938	5,852
Accruals and deferred income	1,600	1,600
Taxation and social security	1,453	178
	8,991	7,630

5	Analysis of other amounts

	2025 £	2024 £
Money advanced to the LLP by the members by way of loan	510,185	478,856
Money owed to members by the LLP in respect of profits	27,325	29,482
	537,510	508,338

Loans and other debts due to members rank equally with unsecured creditors in the event of a winding up. No amounts fall due after more than one year (2024: nil).

6	Related party transactions

One of the members of Lenel Properties LLP is also a director and shareholder in a company that is a tenant in the investment property owned by the partnership. The company is a related party.

Lenel Properties LLP

Notes to the Financial Statements for the Year Ended 31 December 2025

Income and receivables from related parties

2025	Other related parties £
Leases	32,000

2024	Other related parties £
Leases	32,000

Loans from related parties

2025	Other related parties £
At start of period	5,938

2024	Other related parties £
At start of period	5,852

Terms of loans from related parties

The loan is unsecured, interest free and repayable on demand.