This was the fix which was rather simple.
On the server verify you have all updates and service packs which we did.
Option 1: Set the UseHostName property
To set the UseHostName property, follow these steps:
Click Start, click Run, type cmd, and then click OK to open a command prompt.
Change to the folder where the Adsutil.vbs tool is located. By default, this folder is the following:
Type the following command, where x is your site identifier:
cscript adsutil.vbs set w3svc/x/UseHostName true
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