Uberior Ventures recorded a £95.5m pre-tax profit in 2012 after losing £3.8m the preceding year.
The increase in profits was largely due to a credit in respect of income from the company's investments in its subsidiaries worth £80m. Uberior Ventures had no income under that heading in 2011.
As a subsidiary of Bank of Scotland, the company built up a sprawling portfolio of property investments during the boom which ended months before the rescue takeover of HBOS by Lloyds TSB was agreed in 2008. These included hotels, housebuilders, retail property portfolios and care homes. Uberior Ventures has a European subsidiary.
Lloyds took over the portfolio with HBOS.
Uberior Ventures recorded a £8.6m credit during 2012 after finding some investments it made in prior years were in better shape than it had thought.
The credit reversed some of the provisions made previously in respect of investments the bank felt had fallen in value since they were made.
Uberior Ventures booked charges totalling £21.2m in 2011 in respect of the impairment of investments.
Uberior Ventures made a £7m gain on the sale of investments in 2012, compared with a £9.7m profit in 2011.
In the accounts for Uberior Ventures, the company said it remains committed to the business of holding investments.