Lazari Assets Ltd - Accounts to registrar (filleted) - small 22.3
Lazari Assets Ltd - Accounts to registrar (filleted) - small 22.3
REGISTERED NUMBER: |
AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022 |
FOR |
LAZARI ASSETS LTD |
LAZARI ASSETS LTD (REGISTERED NUMBER: 05377174) |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 MARCH 2022 |
Page |
Company Information | 1 |
Balance Sheet | 2 |
Notes to the Financial Statements | 3 |
LAZARI ASSETS LTD |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 MARCH 2022 |
DIRECTOR: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants and |
Statutory Auditors |
2nd Floor |
10(b) Aldermans Hill |
Palmers Green |
London |
N13 4PJ |
LAZARI ASSETS LTD (REGISTERED NUMBER: 05377174) |
BALANCE SHEET |
31 MARCH 2022 |
31.3.22 | 31.3.21 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 5 |
Investment properties | 6 |
CURRENT ASSETS |
Debtors | 7 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 8 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year | 9 | ( |
) | ( |
) |
PROVISIONS FOR LIABILITIES | 13 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 14 |
Retained earnings | 15 |
SHAREHOLDERS' FUNDS |
In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered. |
The financial statements were approved by the director and authorised for issue on |
LAZARI ASSETS LTD (REGISTERED NUMBER: 05377174) |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 MARCH 2022 |
1. | STATUTORY INFORMATION |
Lazari Assets Limited is a private company,limited by shares, registered in England and Wales. The company 's registered number is 05377174 and registered office address is Greater London House, Hampsted Road, London, NW1 7QX. |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Significant judgements and estimates |
Critical accounting estimates and assumptions |
The preparation of financial statements in accordance with generally accepted accounting principals requires management to make estimates and assumptions in certain circumstances that effect reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the accounts and the reported amounts of revenues and expenses during the reporting period. Actual results may differ from these estimates. The estimates and assumptions that have a significant risk of causing a maternal adjustment to the carrying amounts of assets and liabilities within the next financial year are outlined below. |
Investment and operating property valuations |
Properties are valued annually by external valuers. Valuations are made as at the reporting date and conform to International Valuation Standards. Valuations are made using various assumptions and estimations which include, but are not limited to market yields, transaction prices of similar properties, tenure and tenancy details. These assumptions are approved by the company directors. |
Trade receivables |
The company reviews trade receivables and makes judgements on the recoverability of these receivables with reference to the age of outstanding amounts, credit status of the counterparty and the status of any outstanding dispute. |
Going concern |
The director has carried out a detailed review of the cash flow forecasts and working capital requirements for the 12 months from the signing of the financial statements, incorporating the ongoing impact of Covid-19, Brexit, the impact of high inflation on the UK economy and the effect on the operations of the business its tenants and contractors. The director has concluded that the company will have sufficient resources to meet its trading liabilities as and when they fall due for at least 12 months from signing these financial statements. |
Turnover |
Turnover represents net rental and other related income, excluding value added tax. |
Tangible fixed assets |
Computer equipment | - |
Investment properties |
Investment properties are carried at fair value as determined above. No depreciation is provided. Changes in fair value are recognised in the Statement of Comprehensive Income. |
LAZARI ASSETS LTD (REGISTERED NUMBER: 05377174) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2022 |
2. | ACCOUNTING POLICIES - continued |
Taxation |
Taxation for the year 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. |
Deferred taxes at the balance sheet date have been measured using the enacted tax rates of 25% as reflected in these financial statements. |
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 year 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. |
Financial instruments |
The company only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares. |
Debt instruments (other than those wholly repayable or receivable within one year), including loans and other debtors and creditors, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade payables or receivables, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration, expected to be paid or received. However if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate or in case of an out- right short-term loan not at market rate, the financial asset or liability is measured, initially, at the present value of the future cash flow discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost. |
Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of Comprehensive Income. |
For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate, which is an approximation of the amount that the group would receive for the asset if it were to be sold at the balance sheet date. |
LAZARI ASSETS LTD (REGISTERED NUMBER: 05377174) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2022 |
2. | ACCOUNTING POLICIES - continued |
Finance costs amortisation |
Finance costs incurred in connection with the arrangement of bank loans are capitalised as a reduction to the loan and then amortised , on a straight line basis, over the duration of the loans. |
Recognition of income relating to rent free periods |
Rental income relating to rent free periods given on new leases is allocated evenly over the period from the date of the lease commencement to the the lease expiry date. |
Debtors |
Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment. |
Creditors |
Short term creditors are measured at the transaction price. |
Long term directors loan account is interest free and measured at the transaction price. |
Derivative financial instruments |
The company holds derivative financial instruments to hedge its interest rate risk exposures. All derivatives are recognised initially at fair value. Thereafter, derivatives are measured at fair value with changes recognised in profit or loss as part of interest payable. Fair value is based on price quotations from financial institutions active in the relevant market. |
3. | EMPLOYEES AND DIRECTORS |
The average number of employees during the year was NIL (2021 - NIL). |
4. | AUDITORS' REMUNERATION |
31.3.22 | 31.3.21 |
£ | £ |
Fees payable to the company's auditors for the audit of the company's financial statements |
7,200 |
6,000 |
Auditors' remuneration for non audit work |
LAZARI ASSETS LTD (REGISTERED NUMBER: 05377174) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2022 |
5. | TANGIBLE FIXED ASSETS |
Computer |
equipment |
£ |
COST |
At 1 April 2021 |
and 31 March 2022 |
DEPRECIATION |
At 1 April 2021 |
Charge for year |
At 31 March 2022 |
NET BOOK VALUE |
At 31 March 2022 |
At 31 March 2021 |
6. | INVESTMENT PROPERTIES |
Total |
£ |
FAIR VALUE |
At 1 April 2021 |
Revaluations | 35,000 |
At 31 March 2022 |
NET BOOK VALUE |
At 31 March 2022 |
At 31 March 2021 |
The Investment properties were valued on an open market basis on 31 March 2022 by Lambert Smith Hampton, Chartered Surveyors. |
7. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.3.22 | 31.3.21 |
£ | £ |
Trade debtors |
Rent accrued income | 1,464 | - |
Prepayments |
LAZARI ASSETS LTD (REGISTERED NUMBER: 05377174) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2022 |
8. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.3.22 | 31.3.21 |
£ | £ |
Bank loans and overdrafts (see note 10) |
Trade creditors |
Tax |
VAT | 4,811 | 4,745 |
Rent received in advance | 73,004 | 69,498 |
Accrued expenses |
9. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
31.3.22 | 31.3.21 |
£ | £ |
Bank loans (see note 10) |
Other loans (see note 10) | ( |
) | ( |
) |
Tenants' deposits |
Directors' loan accounts | 1,270,705 | 1,270,705 |
10. | LOANS |
An analysis of the maturity of loans is given below: |
31.3.22 | 31.3.21 |
£ | £ |
Amounts falling due within one year or on demand: |
Bank loan under 1 yr |
Amounts falling due between one and two years: |
Bank loan 1-2 yrs |
Amounts falling due between two and five years: |
Bank loan 2-5 yrs |
Finance costs | ( |
) | ( |
) |
Financial Instruments | (55,817 | ) | 2,366 |
LAZARI ASSETS LTD (REGISTERED NUMBER: 05377174) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2022 |
11. | SECURED DEBTS |
The following secured debts are included within creditors: |
31.3.22 | 31.3.21 |
£ | £ |
Bank loans |
The bank holds charges over 116-120 Seven Sisters Road (market value of £2,395,000 as at 31st of March 2022 and 122 Seven Sisters Road (market value of £1,420,000 as at 31st of March 2022). There are no charges over 150 Seven Sisters Road (unencumbered -market value of £850,000 as at 31st of March 2022). |
As at the balance sheet date of 31 March 2022, the company had entered into a 4 year interest rate SWAP agreement fixing at a rate of 1.90% on a notional principal amount of £1,323,000, reducing with capital amortisation. The SWAP became effective from 14 April 2020. As at 31 March 2022 the outstanding amount of interest rate SWAP was £1,241,000. |
12. | DIRECTOR'S LOAN |
Included in Creditors - amounts falling due after more than one year is a loan of £1,270,705 (2021 - £1,270,705 ) due to the Director. This loan is recognised at transaction price. The director's loan is not due until after more than 1 year and is interest free. |
13. | PROVISIONS FOR LIABILITIES |
31.3.22 | 31.3.21 |
£ | £ |
Other provisions |
Deferred tax on CGT provision | 251,953 | 184,834 |
Deferred tax provision on SWAP | 13,954 | - |
Capital gains tax on uncrystallised gains on property investments is provided in the financial statements as shown above. |
Corporation tax on uncrystallised gain on SWAP is also provided in the financial statements as shown above. |
14. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 31.3.22 | 31.3.21 |
value: | £ | £ |
Ordinary | £1 | 2 | 2 |
LAZARI ASSETS LTD (REGISTERED NUMBER: 05377174) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2022 |
15. | RESERVES |
Retained |
earnings |
£ |
At 1 April 2021 |
Profit for the year |
At 31 March 2022 |
Included in Retained earnings as at 31 March 2022 is an amount of £1,589,606 (2021 - £1,621,725) of revaluation reserves which are non distributable. |
16. | DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006 |
The Report of the Auditors was unqualified. |
for and on behalf of |