SMP Site Component Fails to Install

[sponz]

I have a new SCCM 1602 server. I created another server, 2012 R2 server and had it install the SMP point. It starts the install process, drops all the files on the proper drive. However, it comes back and fails saying

On 07/11/16 23:22:30, component SMS_SITE_COMPONENT_MANAGER on computer server.domain.COM reported: Site Component Manager failed to install this component on this site system.

Solution: Review the previous status messages to determine the exact reason for the failure. Site Component Manager will automatically retry the installation in minutes. To force Site Component Manager to immediately retry the installation, stop and restart Site Component Manager using the Configuration Manager Service Manager.

Checking the Component status message, I get:

Site Component Manager failed to install this component, because the designated Web Site of Internet Information Services is not running or started.

Possible cause: The designated Web Site is in the Stopped or Paused state.
Solution: Start the designated Web Site using the Internet Services Manager.

Possible cause: The World Wide Publishing Service is in the Stopped or Paused or Disabled state.
Solution: Start the World Wide Publishing Service on the machine.

Site Component Manager cannot install component SMS_STATE_MIGRATION_POINT until the designated Web Site is started. Refer to your ConfigMgr Documentation or the Microsoft Knowledge Base for further information.

Now I have checked the iis service and it appears to be installed and running. I have tried rebooting the SMP server incase of file locks or something.

Lastly, i checked the event viewer and found this:

Product: ConfigMgr State Migration point -- Internal Error 25054. 80004005

I also get the following from the smpMSI.log

[1:12:21] ERROR: Validate IIS failed with 0x80004005. [1:12:21] @@ERR:25054 Internal Error 25054. 80004005 MSI (s) (5C!40) [01:12:21:768]: Product: ConfigMgr State Migration point -- Internal Error 25054. 80004005 CustomAction CcmValidateIISConfig returned actual error code 1603 (note this may not be 100% accurate if translation happened inside sandbox) MSI (s) (5C:FC) [01:12:21:768]: Note: 1: 2265 2: 3: -2147287035 MSI (s) (5C:FC) [01:12:21:768]: Machine policy value 'DisableRollback' is 0 MSI (s) (5C:FC) [01:12:21:768]: Note: 1: 1402 2: HKEY_LOCAL_MACHINE\Software\Microsoft\Windows\CurrentVersion\Installer\Rollback\Scripts 3: 2 Action ended 1:12:21: CcmValidateIISConfig. Return value 3. MSI (s) (5C:FC) [01:12:21:784]: Note: 1: 1402 2: HKEY_LOCAL_MACHINE\Software\Microsoft\Windows\CurrentVersion\Installer\Rollback\Scripts 3: 2 MSI (s) (5C:FC) [01:12:21:784]: No System Restore sequence number for this installation. MSI (s) (5C:FC) [01:12:21:784]: Unlocking Server Action ended 1:12:21: INSTALL. Return value 3. Property(S): UpgradeCode = {F35E9AB9-6CFC-48AF-82D1-8F5DF73EFF51} Property(S): TARGETDIR = E:\SMS_CCM\ Property(S): ALLUSERS = 1