What you actually receive
- Structural frame, floor slabs and the external facade, weathertight.
- Core: lifts, fire stairs, common toilets, service risers and the main electrical room.
- Incoming services terminated at the floor — power, water, drainage, fire main, telecom.
- No ceiling, no flooring beyond screed, no lighting, no HVAC distribution, no sprinkler heads on the floor plate.
What the tenant then builds
| Element | Cost / sq ft | Note |
|---|---|---|
| HVAC distribution and terminal units | ₹280–520 | Largest single item |
| Sprinklers and fire detection on the plate | ₹90–180 | Licensed contractor, landlord approval |
| Ceiling system | ₹120–260 | Grid, gypsum or exposed services |
| Electrical distribution from the floor DB | ₹160–320 | Containment, small power, lighting circuits |
| Flooring build-up | ₹90–280 | Raised floor or direct finish |
| Base lighting | ₹120–240 | Before any scheme lighting |
Why a landlord offers it
It lowers the landlord's capital cost and lets a large tenant build exactly the services it needs — a trading floor, a data-heavy office or a lab has HVAC and power requirements that a standard Category A would have to be stripped out to accommodate. For a tenant taking 50,000 sq ft or more on a long lease, shell and core plus a fit-out contribution is often the better commercial deal.
Check the reinstatement clause before signing. Many leases require the tenant to return the floor to its original shell condition at the end of the term, which means paying to remove the HVAC, ceilings and partitions you paid to install. That liability belongs in the occupancy cost from day one.
Where it goes wrong for smaller tenants
For a 6,000 sq ft office on a five-year lease, shell and core means paying ₹600–1,200 per sq ft to build services you will hand back at the end. It also adds four to eight weeks to the programme and brings licensed fire and HVAC contractors into a project that would otherwise be joinery and partitions. Compare with a warm shell before signing — the rent difference rarely covers the gap. See shell and core versus warm shell and office fit-out.
Frequently asked questions
Is shell and core cheaper for a tenant?+
The rent usually is; the total occupancy cost often is not. Fitting out from shell and core costs ₹600–1,200 per sq ft more, and on a five-year lease that rarely pays back. On a fifteen-year lease for a large floor, it can.
What is the difference between shell and core and bare shell?+
In Indian practice the terms overlap. Shell and core implies the building core is complete with lifts, toilets and services to the floor. Bare shell can mean less than that. Ask for a written schedule of what is provided.
Does shell and core include toilets?+
Common toilets in the core, yes. Toilets within your demise, no. If your layout needs a pantry or a private washroom, that plumbing is yours to run, and it must be coordinated with the building's stacks.
How much longer does a shell-and-core fit-out take?+
Four to eight weeks longer than from a warm shell for a mid-sized floor, mostly in HVAC installation, sprinkler works and the landlord approvals each of those requires.