Anchor Tenants Limited was founded in 1902 to provide housing for the working class people of Leicester. Please see the Brief History booklet for more information.
Anchor Tenants Limited is a non profit making organisation and is registered as such under the Industrial and Provident Societies Act. As a not for profit organisation registered under the Act, the shares are not equity shares, which appreciate or fall in value with the success of the enterprise. Rather they are "par value" shares that can only be redeemed (if at all) at face value. The shares typically act as a "membership ticket" and voting is on a one share one vote basis.
As a registered Society the accounts are audited each year by an approved auditor under the Industrial and Provident society Act (now regulated by The Financial Services Authority). The financial statements are prepared under the historical costs convention and in accordance with the applicable accounting standards.
As many of the properties are on tenancies controlled by the rent Act 1977 and therefore are regulated tenancies, the amount of any rent increase is controlled by statute. As properties become vacant they are improved and a higher rent is set. To obtain the open market values of the properties is something that is not proposed at the present time as the costs involved in such an exercise would outweigh any benefits.
As Anchor Tenants Limited is not a social housing association, the continuation, upkeep and improvement of the present housing stock is the best way to provide for both members and tenants.
If you ever wondered why the name contains the word 'Limited' when it is not a limited company, then read on:
5 - Name of society
No society shall be registered under this Act under a name which in the opinion of [the Authority] is undesirable.
Subject to subsection (5) of this section, the last word in the name of every society registered under this Act shall be “limited” or, if the rules of the society state that its registered office is to be in Wales, either that word or the word “cyfyngedig”.
As you can see, it is a legal requirement. So now you know.
At the first committee meeting following the AGM, the committee elect one of their number to be chairman for the following twelve months.
The chairman is the chairman of both the management committee and Anchor Tenants Limited for the following 12 months.