Developer dumps Henry Construction from London tower job

Aaron Morby 2 years ago
Share

Student developer Fusion has terminated its contract with Henry Construction on a £72m purpose-built student scheme in Brent Cross, North London.

CGI of planned student accommodation at Brent Cross
CGI of planned student accommodation at Brent Cross

The termination of the contract to build the 22-storey project comes as a growing list of subcontractors and suppliers on projects around the capital complain that they are not being paid by the contractor.

This week London drylining contractor Ozel Group issued a winding-up petition against Henry Construction in an attempt to settle outstanding payments.

The Rainham-based drylining specialist’s petition to the courts follows similar petitions in the last few weeks from Cambridgeshire-based Paramud Interiors and labour supplier Batth Contracts, which are both now understood to have been settled or withdrawn.

Other subcontractors have contacted the Enquirer claiming they are also owed money on jobs and at least two specialists have pulled workers off all their projects for Henry.

Henry Construction Projects is understood to be struggling to progress several major schemes, including two residential tower jobs in the capital, known as Wembley Link and 225 City Road, near Old Street roundabout.

A source told the Enquirer: “There are problems at Henry’s Wembley job for developer Hub. A lot of firms have not been paid. And the scaffolders turned up last week and took their kit away.

“The 16 and 18 storey towers have reached second-fit stage but firms are complaining about not getting paid. Several subcontractors are in the same position.”

Henry’s landmark City Road tower project, a 22-storey mixed residential and office project for developer Ghelamco, is also understood to be running around six months late with the firm facing substantial LADs

The 225 City Road project, known as The Arc, where Henry is running late on programme

A source at the site told the Enquirer: “A whole load of self employed workers for Henry were sent down the road this week.

“To tell you the truth there’s not much going on given there’s a lot to do to finish with top floor windows still to go in.”

Henry Construction Projects has around 30 projects on the go delivering projects mainly in the south east for housing associations and private developers.

It has grown rapidly in recent years developing from an RC concrete frame specialist to become a main contractor.

Last year the firm reported revenue had topped £400m for the first time generating a £14m pre-tax profit, compared to just five years ago when turnover stood at £111m.

Henry has been contacted for comment.

Latest news

Sir Robert McAlpine claws way back into profit

Firm says return to profit and strong cash balance validates new strategy
21 hours ago

Aston Villa to revamp North Stand

Club to reuse existing structure rather than complete rebuild
17 hours ago

Final phase of £1.5bn Elephant and Castle revamp hits planning

Get Living submits revised plan for 500 homes and 450-bed student block
18 hours ago

Severfield to cut staff by 6% amid pricing pressure

Steelwork contractor warns of extended tighter pricing due to project delays
21 hours ago

JRL completes sale of 50% stake to Malaysian giant IJM

Deal boosts balance sheet and kicks starts growth plan
22 hours ago

Green light for £100m Liverpool Baltic station build

Enabling highway works to start in the autumn
2 days ago

First live tests for flying construction robots

Drones can lay construction materials at height on site
21 hours ago

Three firms land £170m Gentoo Sunderland housing deal

PHS Solutions, Esh and RE:GEN to deliver 10-year home upgrade plan
2 days ago

Gateway gridlock hits build-to-rent delivery as starts nosedive

Build to rent starts plunge 18% in the capital
2 days ago

Call to shift Gateway 2 checks to end building bottleneck

"The current system isn't working but we all want to see safe buildings"
2 days ago

GBN launches £600m bid race for SMR engineer roles

Owner engineers to provide technical and assurance services
2 days ago

Wates hires ex-Homes England chief to head public sector push

Robert Stone to spearhead its public sector and national frameworks strategy
2 days ago

Acheson Construction collapse costs suppliers £8.5m

One frustrated creditor seized a telehandler after contractor went into administration
3 days ago

Dominus wins go-ahead for 173-bed Glasgow scheme

Old Wynd Street job expected to cost around £25m to build
3 days ago

Safety Regulator misses deadline to clear Gateway 2 backlog

Investors pulling out of funding high rise buildings
3 days ago

CITB still sitting on £95m cash pile

Staff numbers jump from 666 to 763 as training body wage bill soars
3 days ago

£500m road surfacing framework market call

NEPO goes out to consultation on north east regional highways deal
3 days ago

Two share £220m Scottish rail repairs and minor works deal

AmcoGiffen and CPMS win civils and building repair deals
3 days ago

Builder wanted for £60m London leisure and flats job

Tower Hamlets aims to replace St George’s Leisure Centre in Shadwell
3 days ago

Contractor confirmed for business park expansion

Roe Developments to start on next phase of Castle Donington scheme
3 days ago

Driver escapes injury as scaffold collapses onto van

Major three-lift scaffold fall blocks north London high street
1 week ago

Gilbert Ash to be sold to staff

£267m turnover contractor to transition to an Employee Ownership Trust
1 week ago

M Group seals biggest-ever deal with Telent takeover

Digital infrastructure specialist deal lifts turnover to £3bn
1 week ago

Aggregates firm Ashville went down owing more than £3m

Debts revealed in Companies House update
1 week ago

Cardo saves 100 jobs at Breyer roofing arm

Private equity-backed Welsh maintenance group continues to expand
1 week ago

Excavator knocked off lorry going under bridge

Traffic Commissioner inquiry after accident in south London
1 week ago

Czech energy tycoon buys UK’s biggest rebar supplier

Spanish offload Celsa UK operation to be rebranded 7 Steel UK
1 week ago

Caddick Construction targets £400m turnover

Regional shake-up pays off at contracting arm
1 week ago

Redrow chief steps down after Barratt merger

Matthew Pratt leaving after 22 years
1 week ago

United Living names new property services senior team

New CEO and COO appointed to lead growth in housing upkeep and retrofit
1 week ago

Contractor services