ACCOUNTS - Final Accounts preparation

MERCIA REAL ESTATE (LYDNEY) LTD - Company Information

Caseware UK (AP4) 2021.0.152 2021.0.152 2021-03-312021-03-311falsetrue2020-08-31The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.true 12846948 2020-08-30 12846948 2020-08-31 2021-03-31 12846948 2019-08-30 2020-08-30 12846948 2021-03-31 12846948 c:Director1 2020-08-31 2021-03-31 12846948 d:FreeholdInvestmentProperty 2020-08-31 2021-03-31 12846948 d:FreeholdInvestmentProperty 2021-03-31 12846948 d:CurrentFinancialInstruments 2021-03-31 12846948 d:Non-currentFinancialInstruments 2021-03-31 12846948 d:CurrentFinancialInstruments d:WithinOneYear 2021-03-31 12846948 d:Non-currentFinancialInstruments d:AfterOneYear 2021-03-31 12846948 d:Non-currentFinancialInstruments d:BetweenTwoFiveYears 2021-03-31 12846948 d:ShareCapital 2020-08-31 2021-03-31 12846948 d:ShareCapital 2021-03-31 12846948 d:RetainedEarningsAccumulatedLosses 2020-08-31 2021-03-31 12846948 d:RetainedEarningsAccumulatedLosses 2021-03-31 12846948 c:FRS102 2020-08-31 2021-03-31 12846948 c:AuditExempt-NoAccountantsReport 2020-08-31 2021-03-31 12846948 c:FullAccounts 2020-08-31 2021-03-31 12846948 c:PrivateLimitedCompanyLtd 2020-08-31 2021-03-31 12846948 2 2020-08-31 2021-03-31 iso4217:GBP xbrli:pure

Registered number: 12846948

MERCIA REAL ESTATE (LYDNEY) LIMITED

UNAUDITED

FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 MARCH 2021

MERCIA REAL ESTATE (LYDNEY) LIMITED

CONTENTS

	Page
Balance sheet	1 - 2
Statement of changes in equity	3
Notes to the financial statements	4 - 7

MERCIA REAL ESTATE (LYDNEY) LIMITED

REGISTERED NUMBER: 12846948

BALANCE SHEET

AS AT 31 MARCH 2021

		2021
Note		£

Fixed assets
Investment property	4		6,698,259
Current assets
Debtors	5	15,171,837
Cash at bank and in hand		258,286
		15,430,123
Creditors: amounts falling due within one year	6	(831,614)
Net current assets			14,598,509
Total assets less current liabilities			21,296,768
Creditors: amounts falling due after more than one year	7		(21,376,295)

Net (liabilities)/assets			(79,527)

Capital and reserves
Called up share capital			1
Profit and loss account			(79,528)
			(79,527)

Page 1

MERCIA REAL ESTATE (LYDNEY) LIMITED

REGISTERED NUMBER: 12846948

BALANCE SHEET (CONTINUED)

AS AT 31 MARCH 2021

The director considers that the Company is entitled to exemption from audit under section 477 of the Companies Act 2006 and members have not required the Company to obtain an audit for the period in question in accordance with section 476 of the Companies Act 2006.

The director acknowledges his responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.

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

The Company has opted not to file the statement of comprehensive income in accordance with provisions applicable to companies subject to the small companies' regime.

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 14 June 2022.

S T Clark

Director

The notes on pages 4 to 7 form part of these financial statements.

Page 2

MERCIA REAL ESTATE (LYDNEY) LIMITED

STATEMENT OF CHANGES IN EQUITY

FOR THE PERIOD ENDED 31 MARCH 2021

	Called up share capital	Profit and loss account	Total equity
	£	£	£
Comprehensive income for the period
Loss for the period	-	(79,528)	(79,528)
Shares issued during the period	1	-	1
At 31 March 2021	1	(79,528)	(79,527)

The notes on pages 4 to 7 form part of these financial statements.

Page 3

MERCIA REAL ESTATE (LYDNEY) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 MARCH 2021

1.	General information

Mercia Real Estate (Lydney) Limited (the company) is a private company limited by shares, incorporated and domiciled in England. The address of its registered office is Maddox House, 177 Edmund Street, Birmingham, B3 2HJ.

2.Accounting policies

2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The following principal accounting policies have been applied:

2.2

Going concern

The company is dependant upon the support from it's ultimate parent company and it's directors. They have indicated that they will continue to provide financial support to the company for the foreseeable future. Accordingly these financial statements have been prepared on the going concern basis.

2.3

Revenue

Rental income is recognised on a receivable basis and included within turnover net of value added tax.

2.4

Interest income

Interest income is recognised in profit or loss using the effective interest method.

2.5

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

2.6

Borrowing costs

All borrowing costs are recognised in profit or loss in the period in which they are incurred.

2.7

Investment property

Investment property is carried at fair value determined annually by external valuers and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in profit or loss.

2.8

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.

Page 4

MERCIA REAL ESTATE (LYDNEY) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 MARCH 2021

2.Accounting policies (continued)

2.9

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

2.10

Financial instruments

The Company only enters into basic financial instrument 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 ordinary shares.

Employees

The average monthly number of employees, including directors, during the period was 1.

4.	Investment property

		Freehold investment property
		£
	Valuation
	Additions at cost	6,698,259
	At 31 March 2021	6,698,259

The 2021 valuations were made by the director, on an open market value for existing use basis.


	At 31 March 2021

	If the Investment properties had been accounted for under the historic cost accounting rules, the properties would have been measured as follows:
					2021
					£

Historic cost

6,698,259

Page 5

MERCIA REAL ESTATE (LYDNEY) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 MARCH 2021

Debtors

					2021
					£


	Trade debtors	157,603
	Amounts owed by group undertakings	12,146,951
	Amounts owed by related parties	2,514,440
	Prepayments and accrued income	352,843
		15,171,837

6.	Creditors: Amounts falling due within one year
		2021
		£

	Trade creditors	164,148
	Amounts owed to related parties	900
	Other taxation and social security	52,615
	Accruals and deferred income	613,951
		831,614

7.	Creditors: Amounts falling due after more than one year
		2021
		£

	Bank loans	21,376,295

The following liabilities were secured:

Details of security provided:

Bank loans are secured by a fixed and floating charge over all the property and undertakings of the company.

Page 6

MERCIA REAL ESTATE (LYDNEY) LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 MARCH 2021

8.	Loans
	Analysis of the maturity of loans is given below:
		2021
		£



	Amounts falling due 2-5 years
	Bank loans	21,376,295

9.	Ultimate parent undertaking

The Company's ultimate parent undertaking is Mercia Holdings Limited.

Page 7