Annual Report 2012 - Development Securities PLC

Financial Statements continued
Notes to the Consolidated Financial Statements continued
For the 14-month period ended 29th February 2012
14 Investments continued
b) Investment in joint ventures
As at 29th February 2012, the Group has the following interests in joint ventures:
Accrue Student Housing
GP Limited
% of
holding
88 Development Securities PLC / Annual Report 2012
Country of
incorporation
50 United Kingdom Property
development
Curzon Park Limited 50 United Kingdom Property
development
Development Equity
Partners Limited
50 Jersey Property
development
Manchester Arena Complex LP 30 United Kingdom Investment
property
Notting Hill (Guernsey Holdco)
Limited
24 Guernsey Investment
property
Purplexed LLP 50 United Kingdom Property
development
S Harrison Developments
Lichfield Limited
50 United Kingdom Property
development
Principal activity Reporting segment Joint venture partner
Development
and trading
Development
and trading
Development
and trading
Accounting
reference date
Accrue Capital Limited 31st August
Grainger PLC 29th February
Grey Rock Management
Limited
29th February
Investment Patron Capital Partners 29th February
Development
and trading
Development
and trading
Development
and trading
Brockton (Guernsey) 31st December
Deadhare Limited 31st March
S Harrison Developments
Limited
29th February
In September 2011, the Group acquired a 50.0 per cent holding in Accrue Student Housing GP Limited with its partner Accrue Capital Limited holding the
remaining 50.0 per cent of the equity. The company is registered and incorporated in the United Kingdom. The Group’s 50.0 per cent share of net assets
has been recognised as at 29th February 2012.
Curzon Park Limited acquired the 10.5-acre Curzon Street site in Birmingham in November 2006. In January 2012, the Government confirmed their
intention to proceed with the High Speed Rail Link between London and Birmingham (HS2). The proposed route passes through our site, which may restrict
development by approximately two thirds of its original potential. The Group together with our joint venture partner is liaising with HS2 and the Department
for Transport to discuss a revised master plan for the site. The Group has provided for its share of net assets.
In 2010, the Group provided a further £5,000,000 funding to our Curzon Park Limited joint venture, to enable a partial repayment of the bank loan held
within the entity. Our joint venture partner also made a similar contribution. These partial repayments reduced the bank’s loan to the joint venture entity to
£15,610,000. In turn, the bank extended the loan for a new five-year term, with loan-to-value testing suspended for three years until 6th May 2013.
In December 2011, the Group acquired a 50.0 per cent holding in Development Equity Partners Limited with its partner Grey Rock Management Limited
holding the remaining 50.0 per cent of the equity. The company is registered and incorporated in Jersey. The Group’s 50.0 per cent share of net assets has
been recognised as at 29th February 2012.
In June 2010, the Group acquired a 30.0 per cent holding in Manchester Arena Complex Limited Partnership with its partner, Patron Capital Partners
holding 70.0 per cent of the equity. The limited partnership is registered and incorporated in the United Kingdom. The Group’s 30.0 per cent share of net
assets has been recognised as at 29th February 2012 and 31st December 2010.
In June 2011, the Group acquired a 24.0 per cent holding in Notting Hill (Guernsey Holdco) Limited with its partners Brockton (Guernsey) holding
72.0 per cent of the equity. The company is registered and incorporated in Guernsey. The Group’s 24.0 per cent share of net assets has been recognised
as at 29th February 2012.
In April 2011, the Group acquired a 50.0 per cent holding in Purplexed LLP with its partner Deadhare Limited holding the remaining 50.0 per cent of the
equity. The limited liability partnership is registered and incorporated in the United Kingdom. The Group’s 50.0 per cent share of net assets has been
recognised as at 29th February 2012.