diff --git a/src/vs/code/electron-main/window.ts b/src/vs/code/electron-main/window.ts
index 8d55160477b..b346f149aab 100644
--- a/src/vs/code/electron-main/window.ts
+++ b/src/vs/code/electron-main/window.ts
@@ -179,7 +179,7 @@ export class VSCodeWindow {
 			options.icon = path.join(this.environmentService.appRoot, 'resources/linux/code.png'); // Windows and Mac are better off using the embedded icon(s)
 		}
 
-		if (this.options.titleBarStyle === 'custom' && platform.isMacintosh) {
+		if (platform.isMacintosh && (!this.options.titleBarStyle || this.options.titleBarStyle === 'custom')) {
 			const isDev = !this.environmentService.isBuilt || this.environmentService.extensionDevelopmentPath;
 			if (!isDev) {
 				options.titleBarStyle = 'hidden'; // not enabled when developing due to https://github.com/electron/electron/issues/3647
diff --git a/src/vs/workbench/browser/layout.ts b/src/vs/workbench/browser/layout.ts
index efd863359e3..822639e4738 100644
--- a/src/vs/workbench/browser/layout.ts
+++ b/src/vs/workbench/browser/layout.ts
@@ -29,7 +29,7 @@ const HIDE_SIDEBAR_WIDTH_THRESHOLD = 50;
 const HIDE_PANEL_HEIGHT_THRESHOLD = 50;
 
 interface ComputedStyles {
-	titlebar: { height: number; };
+	titlebar: { height: number; display: string; };
 	activitybar: { width: number; };
 	sidebar: { minWidth: number; };
 	panel: { minHeight: number; };
@@ -295,7 +295,8 @@ export class WorkbenchLayout implements IVerticalSashLayoutProvider, IHorizontal
 		// Determine styles by looking into their CSS
 		this.computedStyles = {
 			titlebar: {
-				height: parseInt(titlebarStyle.getPropertyValue('height'), 10)
+				height: parseInt(titlebarStyle.getPropertyValue('height'), 10),
+				display: titlebarStyle.getPropertyValue('display')
 			},
 			activitybar: {
 				width: parseInt(activitybarStyle.getPropertyValue('width'), 10)
@@ -352,7 +353,12 @@ export class WorkbenchLayout implements IVerticalSashLayoutProvider, IHorizontal
 		}
 
 		this.statusbarHeight = isStatusbarHidden ? 0 : this.computedStyles.statusbar.height;
-		this.titlebarHeight = this.initialComputedStyles.titlebar.height / getZoomFactor(); // adjust for zoom prevention
+
+		if (this.computedStyles.titlebar.display === 'none') {
+			this.titlebarHeight = 0; // custom title bar is hidden
+		} else {
+			this.titlebarHeight = this.initialComputedStyles.titlebar.height / getZoomFactor(); // adjust for zoom prevention
+		}
 
 		this.sidebarHeight = this.workbenchSize.height - this.statusbarHeight - this.titlebarHeight;
 		let sidebarSize = new Dimension(sidebarWidth, this.sidebarHeight);
diff --git a/src/vs/workbench/electron-browser/main.contribution.ts b/src/vs/workbench/electron-browser/main.contribution.ts
index 9bca7424a20..d66beeb7202 100644
--- a/src/vs/workbench/electron-browser/main.contribution.ts
+++ b/src/vs/workbench/electron-browser/main.contribution.ts
@@ -159,7 +159,7 @@ if (platform.isMacintosh) {
 	properties['window.titleBarStyle'] = {
 		'type': 'string',
 		'enum': ['native', 'custom'],
-		'default': 'native',
+		'default': 'custom',
 		'description': nls.localize('titleBarStyle', "Adjust the appearance of the window title bar. Changes require a full restart to apply.")
 	};
 }