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Lease & Space Types

Core and Shell

Core and shell refers to a building condition where the developer completes the base building — structural frame, exterior envelope, roof, central MEP systems (main electrical, plumbing, HVAC core), and common areas — but individual tenant floors or suites are left as bare slabs. Each tenant then builds out their own space from that baseline.

Updated July 13, 2026

Key Facts

  • 1Core and shell construction accounts for roughly 50–70% of a building's total development cost; tenant improvements cover the remainder
  • 2In multi-tenant commercial buildings, core and shell is the standard delivery from developer to building owner before any tenant leases are signed
  • 3LEED certification is often pursued at the core and shell level, separate from tenant improvement work

What Core and Shell Includes

A core and shell building includes the structural frame, exterior cladding, roofing, windows, building lobby, elevators and stairwells, central mechanical rooms, main electrical service to each floor, base plumbing risers, and fire suppression mains. Common corridors and shared restrooms on each floor may or may not be included depending on the building type.

Individual tenant suites arrive as bare concrete slabs with utility stubs — power, water, and HVAC distribution to the floor level, but nothing distributed within the suite itself. Lighting, interior walls, ceiling, flooring, and all tenant-specific MEP work are part of the tenant's buildout scope.

Core and Shell vs. Other Delivery Conditions

Core and shell is a developer-to-owner term; white box, vanilla shell, and cold shell are landlord-to-tenant terms. Once a building owner takes possession of a core and shell building, they may choose to deliver individual suites as cold shells, white boxes, or warm vanilla shells depending on their target tenant profile and market conditions.

Frequently Asked Questions

What is the difference between core and shell and white box?

Core and shell describes the building as delivered from the developer. White box describes how an individual suite is delivered to a tenant. A landlord who owns a core and shell building may invest in white-boxing individual suites before leasing them.

Is LEED Core and Shell certification the same as LEED for buildings?

No. LEED Core and Shell (CS) certifies the base building independently of tenant improvements. Tenants can then pursue LEED Commercial Interiors (CI) certification for their own fit-out. Both can coexist in the same building.