The Shepherd Building Group sold its built environment businesses in September 2015. However, Wates refused to take on Shepherd’s Colindale project, a mixed residential and retail development in north London.
Now the firm has revealed that retained elements of Shepherd Construction ran up losses of £31.5m, mainly due to extra provisions to complete the retail and high-rise residential project.
The £80m construction scheme, known at TNQ, is still under construction after the main tower had to be reclad.
Despite this further setback, the Shepherd Building Group delivered a £14m pre-tax profit in 2017, supported by the retained Portakabin business with total revenue down slightly to just under £300m.
During the year the modular and portable building arm increased profit by over a third to £51m.
The underlying growth came from the hire and sales businesses across Europe.
The group employs around 1,900 staff.