Company Registration No. 2801158 (England and Wales)
CONSOLIDATED PROPERTY CORPORATION INC. LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2019
PAGES FOR FILING WITH REGISTRAR
CONSOLIDATED PROPERTY CORPORATION INC. LIMITED
COMPANY INFORMATION
Director
Mr L.G. Kirschel
Company number
2801158
Registered office
3rd Floor
114a Cromwell Road
London
SW7 4AG
Auditor
Bright Grahame Murray
Emperor's Gate
114a Cromwell Road
Kensington
London
SW7 4AG
CONSOLIDATED PROPERTY CORPORATION INC. LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 7
CONSOLIDATED PROPERTY CORPORATION INC. LIMITED
BALANCE SHEET
AS AT 31 DECEMBER 2019
31 December 2019
- 1 -
2019
2018
Notes
£
£
£
£
Fixed assets
Tangible assets
3
3,107
3,654
Investment properties
4
40,700,000
40,700,000
40,703,107
40,703,654
Current assets
Debtors falling due after more than one year
5
1,709,197
1,938,366
Debtors falling due within one year
5
22,786,096
22,354,158
Cash at bank and in hand
63,308
155,629
24,558,601
24,448,153
Creditors: amounts falling due within one year
6
(704,445)
(568,785)
Net current assets
23,854,156
23,879,368
Total assets less current liabilities
64,557,263
64,583,022
Creditors: amounts falling due after more than one year
7
(21,454,190)
(21,383,541)
Provisions for liabilities
8
(6,373,130)
(6,373,130)
Net assets
36,729,943
36,826,351
Capital and reserves
Called up share capital
9
100
100
Profit and loss reserves
12
36,729,843
36,826,251
Total equity
36,729,943
36,826,351
The director of the company has 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.
The financial statements were approved and signed by the director and authorised for issue on 26 June 2020
Mr L.G. Kirschel
Director
Company Registration No. 2801158
CONSOLIDATED PROPERTY CORPORATION INC. LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2019
- 2 -
1
Accounting policies
Company information
Consolidated Property Corporation Inc. Limited is a
private
company
limited by shares
incorporated in England and Wales.
The registered office is
3rd Floor, 114a Cromwell Road, London, SW7 4AG.
1.1
Accounting convention
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 a
mounts
in these financial statements are
rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
1.2
Going concern
As set out in the
true
director's
report during the early part of 2020 the international community was impacted by the COVID-19 pandemic, which caused significant disruption to UK businesses.
The director ha
s
assessed the risk that the company is not a going concern, with reference to its financial position and performance as discussed in the
director's
report. The company forecasts that it is able to continue to meet all of its obligations without recourse either to additional third party capital or additional capital from the shareholders. The director
is
not aware of any significant impact from the COVID-19 pandemic on the company
's
operations. However, the director continue
s
to assess its impact on an ongoing basis as it is expected that market value of property will decrease in 2020 but due to the strong financial position of the company, this will have no significant impact
As a result the financial statements have been prepared on the going concern basis.
1.3
Turnover
Turnover, which is stated net of value added tax, represents rent and service charges receivable.
The turnover was derived from the company's principal activity which was carried out wholly in United Kingdom.
1.4
Tangible fixed assets
Tangible fixed assets
are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Fixtures, fittings & equipment
15% p.a. on a reducing balance basis
Furniture & equipment
15% p.a. on a reducing balance basis
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and
is credited or charged to profit or loss
.
CONSOLIDATED PROPERTY CORPORATION INC. LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
1
Accounting policies
(Continued)
- 3 -
1.5
Investment properties
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 a
t
the reporting end date.
Changes in fair value are recognised in profit or loss.
1.6
Impairment of fixed assets
At each reporting
period
end date, the
company
reviews the carrying amounts of its tangible
assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company
estimates the recoverable amount of the cash-generating unit to which the asset belongs.
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit)
in
prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
1.7
Cash at bank and in hand
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.
1.8
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset
, with
the net amounts presented in the financial statements
,
when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest
method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.
Financial assets classified as receivable within one year are not amortised.
CONSOLIDATED PROPERTY CORPORATION INC. LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
1
Accounting policies
(Continued)
- 4 -
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from
fellow group companies and preference shares that are classified as debt, are
initially recognised at transaction price unless the arrangement constitutes a
financing transaction, where the debt instrument is measured at the present value of
the future
paymen
ts discounted at a market rate of interest.
Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective
interest rate method.
Trade creditors
are obligations to pay for goods or services that have been acquired
in the ordinary course of business from suppliers. A
m
ounts payable are classified as
current liabilities if payment is due within one year or less. If not, they are presented
as non-current liabilities. Trade creditors are recognised initially at transaction price
and subsequently measured at amortised cost using the effective interest method.
1.9
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.10
Derivatives
Derivatives are initially recognised at fair value at the date a derivative contract is entered into and are subsequently remeasured to fair value at each reporting end date. The resulting gain or loss is recognised in profit or loss immediately unless the derivative is designated and effective as a hedging instrument, in which event the timing of the recognition in profit or loss depends on the nature of the hedge relationship.
A derivative with a positive fair value is recognised as a financial asset, whereas a derivative with a negative fair value is recognised as a financial liability.
Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.
1.11
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current 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.
CONSOLIDATED PROPERTY CORPORATION INC. LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
1
Accounting policies
(Continued)
- 5 -
Deferred tax
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.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the
company
has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
2
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2019
2018
Number
Number
Total
-
-
3
Tangible fixed assets
Fixtures, fittings & equipment
Furniture & equipment
Total
£
£
£
Cost
At 1 January 2019 and 31 December 2019
59,121
47,852
106,973
Depreciation and impairment
At 1 January 2019
56,943
46,376
103,319
Depreciation charged in the year
326
221
547
At 31 December 2019
57,269
46,597
103,866
Carrying amount
At 31 December 2019
1,852
1,255
3,107
At 31 December 2018
2,178
1,476
3,654
CONSOLIDATED PROPERTY CORPORATION INC. LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
- 6 -
4
Investment property
2019
£
Fair value
At 1 January 2019 and 31 December 2019
40,700,000
Investment properties have been valued at 31 December 2019 by the director, using an open market value for existing use basis at £40,700,000. The historical cost of freehold land and buildings was £1,659,009.
5
Debtors
2019
2018
Amounts falling due within one year:
£
£
Trade debtors
401,291
404,100
Corporation tax recoverable
-
19,231
Amounts due from group undertakings
22,154,131
21,667,945
Other debtors
230,674
262,882
22,786,096
22,354,158
Amounts falling due after one year:
Other debtors
1,709,197
1,938,366
Total debtors
24,495,293
24,292,524
6
Creditors: amounts falling due within one year
2019
2018
£
£
Trade creditors
248
55,509
Taxation and social security
61,467
54,485
Other creditors
4,894
32
Accruals and deferred income
637,836
458,759
704,445
568,785
7
Creditors: amounts falling due after more than one year
2019
2018
£
£
Bank loans and overdrafts
21,454,190
21,383,541
The bank loan is secured by fixed charge over the company's freehold investment property and debenture over the assets of the company.
CONSOLIDATED PROPERTY CORPORATION INC. LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2019
- 7 -
8
Deferred taxation
Deferred tax assets and liabilities are offset where the company has a legally enforceable right to do so. The following is the analysis of the deferred tax balances (after offset) for financial reporting purposes:
Liabilities
Liabilities
2019
2018
Balances:
£
£
ACAs
741
741
Fair value property gains
6,372,389
6,372,389
6,373,130
6,373,130
There were no deferred tax movements in the year.
9
Called up share capital
2019
2018
£
£
Ordinary share capital
Issued and fully paid
100 Ordinary shares of £1 each
100
100
10
Audit report information
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.
The senior statutory auditor was Ahsan Miraj.
The auditor was Bright Grahame Murray.
11
Parent company
The company's immediate parent undertaking is CPC Inc Company Limited. The ultimate parent undertaking is Consolidated Holdings Limited. Both companies are registered in England and Wales.
12
Profit and loss reserves
The profit and loss reserve of £36,866,503 includes all current and prior period profits and losses. £32,668,602 of the profit and loss reserve is non distributable. The non distributable element of the profit and loss reserve relates to investment property revaluation gains, net of related deferred taxation.
2019-12-31
2019-01-01
false
29 June 2020
CCH Software
CCH Accounts Production 2020.200
No description of principal activity
This audit opinion is unqualified
Mr L.G. Kirschel
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