Last updated January 13th 2022
Mace Group
Mace Group is a privately-owned international consultancy and construction company operating across the UK and worldwide and providing integrated services across the property lifecycle.
Founded in 1990, the group is one of the industry’s success stories of recent years and its latest results show a turnover of £1.9 billion – of which over £485 million was international – and a staff of around 6,000. The group’s four core business ‘engines’ are: develop, consult, construct and operate.
Mace works across a wide range of sectors including commercial office, retail, hotels, leisure and sport, residential and infrastructure. It also works in education, health and social care and on estates strategies together with transport, energy, utilities.
Today, Mace”s development arm is having growing success in the UK regeneration sector and has secured the go-ahead for a major project in Stevenage. The firm”s consultancy business has also been growing.
In recent years, the company has forged a reputation as a major player in the London commercial market having been the contractor on landmark projects such as The Shard tower and Emirates Air Line cable car and it was part of CLM, the delivery partner to the Olympic Delivery Authority.
Major projects in recent years have included Birmingham New Street Station, The Tate Modern Extension, 2019 Pan American Games in Peru and Landmark 81 in Vietnam. Other major projects where the group has worked include the new prisons programme with the UK’s Ministry of Justice, Expo 2020 Dubai, Battersea Power Station, the National Satellite Test Facility at Harwell and the new HS2 Euston Station.
Today, the company has a growing infrastructure workload and is a framework provider on off-site works on the Hinkley Point C nuclear power station. It has also been expanding its infrastructure consultancy business.
In recent years, the company has increased its involvement in the commercial property and residential sectors in London, the data centre market, in public sector frameworks and with long term global real estate clients. It has also targeted the pharmaceutical sector.
Unveiling record profits in September 2022, chair and CEO Mark Reynolds said “…through industry collaboration and championing better ways of working we are confident that 2022 will be another record year.”
Financials
To see the financials for Mace Finance Ltd visit Companies House and use Company ID number 08057308.
Mace”s produced record results for 2021 in what was inevitably a challenging year due to Covid. Group turnover rose to £1.9 billion in the year to December 2021 from £1.7 billion previously and pre-tax profits increased to 38.3 million million from a re-stated £16.7 million. Operating profit after exceptional items rose to £32.01 million from £15.01 million. Meanwhile, the firm’s balance sheet showed a dramatic improvement with a healthy net cash position of £127 million, up from £25 million previously. The group also invested £48 million in R & D. Looking forward, overall revenue for the group for 2022 was budgeted at 2.15 billion but, as at September 2022, it was expected to come in below this, albeit at the budgeted margin.
The group”s turnover in 2021 included construction, £1.5 billion; consultancy, £366 million; operate, £110.2 million and develop, £36.3 million.
Construct
Mace puts an emphasis on an innovative approach with maximum flexibility and programme and cost certainty. Its services cover contracting, construction management, fit out and specialist services and much of its workload is in central London. Turnover rose to £1.5 billion in 2021 from £1.2bn previously reflecting growth in offices and major projects and the volume of its work managed as construction management (and not included in turnover) stood at £382 million.
The business works through six divisions: data centres and technology, major projects, commercial offices & residential, public sector, aviation and interiors. It also has an off-site manufacturing arm, Mace Tech.
Projects currently underway include 40 Leadenhall, a 34-storey City building of nearly 1m sq ft which is one of the largest-ever in the Square Mile. The firm is also working on an 18 storey landmark building at Paddington Square, The Exchange.
During 2022, Mace won a place with Willmott Dixon on the P23 framework enabling it to bid for more healthcare sector work; the partnership, MWD Healthcare, won its first project, a £126 million Urgent and Emergency Healthcare Centre in Plymouth, in autumn 2022. Mace is also winning more life sciences work including the L & G campus in Oxford, where it is delivering the next stage of Begbroke Science Park.
Meanwhile in late 2022, Mace was appointed main contractor on the refurbishment of Peterborough Court in Fleet Street, the former European hq of Goldman Sachs and the largest interiors project for the group in the past decade and which will involve the remodelling to create 292 000 sq ft of Grade A space.
Recent new office contract wins include, in autumn 2022, principal contractor on Edge London Bridge, a 260,000 sq ft office tower over 28 floors. Earlier, in August 2022, Mace secured a position as main contractor on a 430,000 sq ft hq office building, Roots in the Sky, in Southwark, working for client Fabrix.
Consult
Clients are increasingly seeking an integrated service from Mace combining its consultancy and construction businesses; the consultancy business grew revenues by 7.1% to £366m in 2021 and the headcount at the business rose to almost 3500 from 2616 previously.
Core services cover project and programme delivery management, PMO services and cost consultancy and commercial management along with advisory services such as digital & data and design & engineering.
he business works worldwide through five global hubs and three core divisions; property and corporate real estate, infrastructure and international. Today, growth sectors at Consult include healthcare, pharma and life sciences, data centres and global infrastructure.
Mace has secured appointments with the Ministry of Justice and the Department of Education and has been named as a supplier on key public sector frameworks: the Crown Commercial Services Construction Professional Services framework (RM 6165) and Management Consultancy framework 3. In infrastructure, the group has Mace has renewed frameworks with National Highways, Network Rail, National Gridl, TfL and with the Ministry of Defence. The firm is also working with the Lower Thames Crossing, ABP and for train operator Abellio. Overseas Mace”s consult business is a partner in a government project to build 75 new public schools in Peru.
Develop
Mace’s regeneration and development business is involved in mixed-use and town centre developments and iscurrently working on projects with a gross development value of over £1.6 billion.
Developments in the pipeline include a mixed-use scheme at Botley in West Oxford where Mace has a 50% stake in Phase 2 of a mixed-use development which will include 150 build to rent apartments and seven commercial units
Meanwhile Mace has received approval for SG1, the regeneration of Stevenage town centre, where the company is working with Stevenage Borough Council on a scheme that will offer 1,864 new homes across 14.5 acres of public land. The group has completed the final phase of its mixed-use Greenwich Square development scheme.
Operate (facilities management)
In spring 2020, Mace reshaped its facilities management arm, dropping the Macro brand and integrating the Operate division with the wider business. Key sectors for the business include financial services, oil and gas, pharmaceutical, professional services and it has numerous blue chip clients. The FM business generated revenues of £110 million in 2021 compared to £114 million previously.
Glenigan Data
Glenigan figures show that Mace ranked as the 3rd largest contractor in the UK over 2022 with 20 major deals worth £1837.3 million, of which the vast bulk was in building work. Glenigan data also shows that during a recent year, Mace ranked as easily the largest contractor in London, with 15 major projects in the capital worth £1,665 million.
Conclusion: A leading light in the capital which has rebounded well
Having thrived and emerged as one of the leading lights in the UK contracting scene with a blue chip client list, Mace has inevitably run into choppier waters in recent years. The group”s turnover has recovered well in 2021 and its services are likely to remain in strong demand. Mace”s involvement in numerous major landmark schemes in London and major regeneration schemes across the UK, together with its growing consultancy and development businesses, bode well for its long term future. Promising markets such as healthcare and utilities and major infrastructure schemes, particularly in rail, should continue to bolster its order book.
Winning work with Mace
Mace works with over 1,000 different suppliers and believes supply chain engagement can lower infrastructure costs. A report by the firm’s director of infrastructure for cost consultancy argued that closer engagement between organisations and supply chains will be key in driving down the costs of major infrastructure programmes. It also highlighted the shift from traditional framework-styles towards more collaborative ways of working and an increased use of alliancing and partner delivery models.
Mace emphasises quality with a management system certified to ISO9001. It is also committed to the environment and health and safety with certifications to ISO14001, BS25999 and ISO27001. Companies interested in working with the group are advised to forward details to scm@macegroup.com
The group’s head office number in Moorgate is 020 3522 3000.
Key Contacts:
Lee Taylor, Supply Chain Manager
Telephone 020 3522 3000
Paul Crouch, Supply Chain Manager
Telephone: 020 3522 3000
Georgia Martin, Supply Chain Manager
Tel 020 3522 3000
Cameron Mace, Supply Chain Manager
Tel 020 3522 3000
Michael Lemmens, Procurement Manager, Mace Macro (Operate)
Tel 020 3522 3000