1. Accounting policies

Basis of measurement and preparation of accounts

The financial statements have been prepared under the historical cost convention, as modified by the revaluation of investment property, and in accordance with the Financial Reporting Standard for Smaller Entities (effective April 2008).

Turnover policy

Turnover represents amounts receivable in respect of rentals from properties owned. All properties are situated in the United Kingdom.

Tangible fixed assets depreciation policy

Fixed assets are stated at cost and depreciated to their expected recoverable amounts in equal annual instalments over their estimated useful lives at the following rates: Freehold buildings 2% Fixture and Fittings 20%

Other accounting policies

Investment properties Investment properties are revalued annually at their open market value in accordance with Financial Reporting Standard for Smaller Entities (effective April 2008). The surplus or deficit on revaluation is transferred to a revaluation reserve except where the deficit reduces the property below its historical cost, in which case it is taken to the profit and loss account. No depreciation is provided on investment properties which is a departure from the requirements of the Companies Act 2006. In the opinion of the directors these properties are held primarily for their investment potential and so their current value is of more significance than any measure of consumption and to depreciate them would not give a true and fair view. The provisions of the Financial Reporting Standard for Smaller Entities (effective April 2008) in respect of investment properties have therefore been adopted in order to give a true and fair view. If this departure from the Act had not been made, the result for the year would have been reduced by depreciation. However, the amount of depreciation cannot reasonably be quantified and the amount which might otherwise have been shown cannot be separately identified or quantified Deferred taxation Full provision is made for deferred taxation on the excess of capital allowances over depreciation and other timing differences. Deferred tax assets are recognised only to the extent that they are regarded as recoverable.

6. Tangible assets

7. Creditors: amounts falling due within one year

8. Creditors: amounts falling due after more than one year

The bank loan is secured on the leasehold property and pays interest at a rate of 0.9% over the Barclays standard variable rate (“SVR”) for the remainder of the loan term. The loan is repayable in full on 1 September 2017. The other creditors are shareholders loan and they are unsecured, interest free and repayable when the resources of the company are adequate or the property is sold.

10. Called up share capital

Allotted, called up and paid

13. Related party disclosures