WREST_PARK_LIMITED - Accounts

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

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

Wrest Park Limited is a private company limited by shares incorporated in England and Wales. The registered office is Sheraton House, Lower Road, Chorleywood, Hertfordshire, United Kingdom.

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, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.

Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

Turnover was derived from the company’s principal activity of provision of serviced office accommodation within the United Kingdom net of VAT.

Other operating income is derived from rental of unsold stock of warehouse units within the United Kingdom.

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

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.

Stocks are stated at the lower of cost and net realisable value.

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 only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised cost.

The tax expense represents the sum of the tax currently payable and deferred tax.

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax liabilities are generally recognised for all timing differences and 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. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease.

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 is outlined below.

As described in note 5, freehold and leasehold investment properties are stated at fair value based on the valuations performed by an independent professional valuer, Avison Young UK and the director R V Mawhood respectively. The valuations are based on comparable open market values and by reference to available market evidence. Inherent in any property valuation is a degree of judgement and uncertainty. Note 5 provides additional information on the fair values of the investment properties.

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

The directors took the decision in 2022 to treat the company's interests in the freehold and leasehold serviced office accommodation as investment property. The properties were reclassified as investment property at a total of £21,775,000 and £116,577 respectively. The leasehold was transferred on the basis of the directors assessment of its market value on 31st March 2022, whilst the freehold was transferred on the basis of an assessment carried out in March 2022, on an open market basis by Avison Young UK, an independent valuation specialist not connected with the company. Avison Young UK carried out a further valuation of the freehold property on 21st November 2022 where the property values were downgraded to £21,000,000. The directors are of the opinion that this revaluation and market value on 21st November 2022, and the directors assessment of of the market value of the leasehold property of £116,577 are still an accurate reflection of the positions as at the balance sheet date:

Endeavour House, WEC and Capability House at Wrest Park Industrial Estate, Silsoe, Bedfordshire.

Valuation - £8,000,000 (2022: £8,200,000)

Regal Court, 42-44 High Street, Slough, Berkshire.

Valuation - £7,600,00 (2022: £7,675,000)

Pinnacle House, Newark Road, Fengate, Peterborough.

Valuation - £5,400,000 (2022: £5,900,000)

Bowman House

Valuation - £116,577 (2022: £116,577)

Bank loans of £7,837,500 (2022 - £8,187,500) are secured against the investment property.

The revaluation surplus is disclosed in note 10.

Bank loans and overdrafts includes loans of £7,837,500 (2022: £8,187,500) from Santander UK Plc against which the company has provided security by way of a debenture and fixed and floating charges over the company's investment properties and by way of charges over the company's rental agreements and all the company's assets.

The revaluation reserve arose on the transfer of property from tangible fixed assets to investment property in 2021-22.

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 was unqualified.

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

At the reporting end date the company had contracted with tenants for the following minimum lease payments:

During the year the company entered into the following transactions with related parties:

Rent payable to key management personnel £215,270 (2022: £215270)

Rent receivable from connected companies £135,000 (2022: £135,000)

The following amounts were outstanding at the reporting end date:

Amounts owed to related parties

Entities under common control £778,036 (2022: £2,160)

Directors loan accounts £1,770,636 (2022: £2,212,541)

Amounts owed by related parties

Entities under common control £2,074,863 (2022: £2,072,523)

Over which entity has control £144 (2022: Nil)

The company is controlled by its Director, Mr R V Mawhood.