Shell Delivery Vs Turnkey Cost Calculator

Delivery condition drives landlord cost. This calculator compares options.

Rentable SF

Cold shell cost PSF

Warm shell cost PSF

Turnkey cost PSF

Rent PSF

Term years

Turnkey vs warm shell premium

$1,350,000

Turnkey premium in years of rent

2.5

Warm shell total

$2,250,000

How the math works

Turnkey premium = (turnkey − warm shell) × SF. Years of rent = premium / annual rent.

15k × ($240 − $150) = $1.35M turnkey premium. Annual rent $540k. Premium = 2.5 years rent — significant concession landlord recoups over term.

How to Use

Enter SF.
Enter cold shell PSF.
Enter warm shell PSF.
Enter turnkey PSF.
Enter rent PSF.
Enter term years.
Read delivery cost vs face rent ratios.

Frequently Asked Questions

Delivery options defined?

Cold shell: bare slab, exterior envelope, utility stubs to suite. Warm shell: plus HVAC stubs, restrooms, basic electrical panel, fire-life-safety. Turnkey: full finished space including office build-out per plan, ready for tenant move-in. Each step materially increases landlord spend.

Typical costs?

Cold shell: $80-150/SF new construction. Warm shell: $120-180/SF. Turnkey: $180-350/SF depending on finish level and program complexity. Retail turnkey (restaurant): $250-500/SF. Office high-rise turnkey: $200-300/SF for standard build-out.

How to negotiate?

Landlord pays shell cost anyway for vacant space. Turnkey trades for longer term, higher rent, or lower TI. Warm shell + TI allowance typically preferred by landlord (tenant manages build-out risk). Full turnkey preferred by tenants with low capital.