Using change of time method for continuous local martingales, we derive a closed formula for the Brockhaus & Long approximation of the volatility swap price. The model we consider is a variance drift adjusted Heston model - the delayed Heston Model - that has been presented in Part 1 of this article (Swishchuk&Vadori (2012)). The main idea behind this model is to take into account some past history of the variance process in its (risk-neutral) diff usion. We also consider dynamic hedging of volatility swaps using a portfolio of variance swaps.