Wates has announced the creation of a specialised fit-out division to target London’s commercial market.
- The new division will be led by Lee Phillips, formerly of ISG Fit Out, who brings decades of industry experience.
- Wates aims to offer high-quality Category A and B fit-outs through this new venture.
- Phillips’ strategic role includes building long-term client partnerships across various sectors.
- The London-focused division will operate independently from Wates’ existing Smartspace business.
In a strategic move to capitalise on the opportunities offered by the London commercial fit-out market, Wates has launched a new division dedicated to this sector. The initiative is set to be spearheaded by Lee Phillips, who brings over 30 years of experience in the industry. Phillips, previously the managing director at ISG Fit Out, has significant expertise, particularly in leading teams that deliver major commercial projects.
Wates’ new fit-out business, sitting under the umbrella of Wates Construction, aims to deliver premium Category A and B fit-outs. This expansion represents Wates’ commitment to honing its focus on the commercial sector in London, thereby enhancing its service offerings to its clientele. The firm’s statement underscored that the division’s operations would be distinct from Wates’ Smartspace segment, which currently serves both public and private sector frameworks.
Phillips’ extensive background includes roles such as project director at Overbury and board director at Como Group before joining ISG in 2016. His leadership at ISG Fit Out was marked by handling projects valued up to £250 million and establishing enduring strategic partnerships with clients across diverse sectors.
The backdrop of this development includes the recent administration of ISG Fit Out, which fell into financial distress along with seven affiliated businesses. Although the timeline for Wates’ decision to form this division is not specified, the current market offers Wates a chance to deliver tailored services in London. Steffan Battle, managing director at Wates, highlighted that this move aligns with their strategic push in London’s commercial sphere.
While Smartspace recorded a turnover of £122 million with 233 employees in 2023, the capabilities of the newly formed division are poised to significantly contribute to Wates’ growth narrative. Conversely, in its last accounts, ISG Fit Out reported a turnover of £567.8 million, with £111.4 million owed to its supply chain, which adds context to the scaling potentials for Wates.
Wates’ establishment of a new fit-out business marks a strategic expansion within London’s commercial market, leveraging experienced leadership for specialised service delivery.
