South Derry-based construction firm Oakleaf Contracts has expanded into offsite manufacturing with the launch of a dedicated modular division in England, specialising in fully fitted bathroom pods.

The new operation represents a significant step for the Castledawson-headquartered company, which also has offices in Dublin and Sheffield. Based at a 65,000sqft facility in the Lancaster area, the division will design and manufacture bespoke modular bathroom pods for residential, student accommodation, hotel and healthcare developments.

The pods are produced in a factory-controlled environment and delivered to construction sites ready for installation, complete with plumbing, electrical systems, fixtures, fittings and finishes. By reducing the amount of work required on site, the approach is designed to improve efficiency, quality control and project delivery times.

The expansion strengthens Oakleaf Contracts’ position in the growing offsite construction sector across the UK and Ireland. The company, which is best known as a specialist dry wall partition and ceiling contractor, has already secured a multi-million-pound contract to supply 3,300 bathroom pods for a major student accommodation scheme at a leading English university.

Director Philip McCoubrey described the launch as “an exciting new chapter” for the business.

“Offsite construction is playing an increasingly important role in meeting the demands of modern building projects and is an area that we’ve been looking to develop for some time,” he said.

“Our modular bathroom pods offer significant advantages in terms of reduced onsite labour, improved quality control, minimising risk and supporting sustainability objectives through reduced waste and more efficient manufacturing processes.”

He said winning the 3,300-pod contract shortly after launching the division demonstrated both the market opportunity and client confidence in the company’s approach.

“We look forward to building on this early success and developing long-term partnerships with clients across multiple sectors,” he added.

The modular division is led by commercial manager Nigel McCarthy and will initially employ 50 people in the Lancaster area.

Founded in 2000, Oakleaf Contracts employs 90 full-time staff, alongside up to 200 subcontractors. According to its latest published accounts, the company generated revenues of more than £18.3 million in 2024 and recorded a pre-tax profit of £1.8 million.

Image: Nigel McCarthy (centre) with colleagues John Desbourough and Darcie Whitehead.