diff --git a/core/org.eclipse.cdt.core/META-INF/MANIFEST.MF b/core/org.eclipse.cdt.core/META-INF/MANIFEST.MF
index 8fe27c74ce9..82693b61112 100644
--- a/core/org.eclipse.cdt.core/META-INF/MANIFEST.MF
+++ b/core/org.eclipse.cdt.core/META-INF/MANIFEST.MF
@@ -2,7 +2,7 @@ Manifest-Version: 1.0
 Bundle-ManifestVersion: 2
 Bundle-Name: %pluginName
 Bundle-SymbolicName: org.eclipse.cdt.core; singleton:=true
-Bundle-Version: 8.2.100.qualifier
+Bundle-Version: 8.2.200.qualifier
 Bundle-Activator: org.eclipse.cdt.core.CCorePlugin
 Bundle-Vendor: %providerName
 Bundle-Localization: plugin
diff --git a/core/org.eclipse.cdt.core/src/org/eclipse/cdt/core/build/CBuildConfiguration.java b/core/org.eclipse.cdt.core/src/org/eclipse/cdt/core/build/CBuildConfiguration.java
index 9f38926a0ee..0b0c397ee9d 100644
--- a/core/org.eclipse.cdt.core/src/org/eclipse/cdt/core/build/CBuildConfiguration.java
+++ b/core/org.eclipse.cdt.core/src/org/eclipse/cdt/core/build/CBuildConfiguration.java
@@ -232,20 +232,49 @@ public List<String> getBinaryParserIds() throws CoreException {
 		return toolChain != null ? toolChain.getBinaryParserIds() : List.of(CCorePlugin.DEFAULT_BINARY_PARSER_UNIQ_ID);
 	}
 
+	/**
+	 * Create build container if it doesn't exist yet.
+	 *
+	 * For a {@link StandardBuildConfiguration} the container can be the project or
+	 * a folder. For all other Core Build configurations it is a folder.
+	 *
+	 * @param container Container where build is executed.
+	 * @param monitor
+	 * @throws CoreException
+	 */
+	/*
+	 * Container creation is done at the start of the build process. Folder creation
+	 * during the creation of a Core Build Configuration can lead to a loop back to
+	 * CBuildConfigurationManager.getBuildConfiguration() that makes Eclipse freeze.
+	 * This was seen with StandardBuildConfiguration when it created the build
+	 * container. Folder.create got triggered via applyProperties() and
+	 * getBuildContainer(). See https://github.com/eclipse-cdt/cdt/issues/424
+	 */
+	private void createBuildContainer(IContainer container, IProgressMonitor monitor) throws CoreException {
+		if (!(container instanceof IProject) && !container.exists()) {
+			IContainer parent = container.getParent();
+			if (!(parent instanceof IProject) && !parent.exists()) {
+				createBuildContainer(parent, monitor);
+			}
+
+			if (container instanceof IFolder) {
+				((IFolder) container).create(IResource.FORCE | IResource.DERIVED, true, monitor);
+			}
+		}
+	}
+
+	/*
+	 * Only the StandardBuildConfiguration has an option in the launch configuration
+	 * to change the build container to the project root. For as long as the
+	 * StandardBuildConfiguration is the only one there is no need to make the
+	 * folder name a project property for all types. StandardBuildConfiguration has
+	 * its own getBuildContainer() override.
+	 */
 	public IContainer getBuildContainer() throws CoreException {
-		// TODO make the name of this folder a project property
 		IProject project = getProject();
 		IFolder buildRootFolder = project.getFolder("build"); //$NON-NLS-1$
 		IFolder buildFolder = buildRootFolder.getFolder(name);
 
-		IProgressMonitor monitor = new NullProgressMonitor();
-		if (!buildRootFolder.exists()) {
-			buildRootFolder.create(IResource.FORCE | IResource.DERIVED, true, monitor);
-		}
-		if (!buildFolder.exists()) {
-			buildFolder.create(IResource.FORCE | IResource.DERIVED, true, monitor);
-		}
-
 		return buildFolder;
 	}
 
@@ -521,6 +550,9 @@ public Process startBuildProcess(List<String> commands, IEnvironmentVariable[] e
 			IConsole console, IProgressMonitor monitor) throws IOException, CoreException {
 		Process process = null;
 		IToolChain tc = getToolChain();
+
+		createBuildContainer(getBuildContainer(), monitor);
+
 		if (tc instanceof IToolChain2) {
 			process = ((IToolChain2) tc).startBuildProcess(this, commands, buildDirectory.toString(), envVars, console,
 					monitor);
diff --git a/core/org.eclipse.cdt.core/src/org/eclipse/cdt/core/build/StandardBuildConfiguration.java b/core/org.eclipse.cdt.core/src/org/eclipse/cdt/core/build/StandardBuildConfiguration.java
index 05a3e82d07a..da5726bfef1 100644
--- a/core/org.eclipse.cdt.core/src/org/eclipse/cdt/core/build/StandardBuildConfiguration.java
+++ b/core/org.eclipse.cdt.core/src/org/eclipse/cdt/core/build/StandardBuildConfiguration.java
@@ -84,16 +84,20 @@ public StandardBuildConfiguration(IBuildConfiguration config, String name, ITool
 		setupEnvVars();
 	}
 
-	private void applyProperties() {
-		String container = getProperty(BUILD_CONTAINER);
-		if (container != null && !container.trim().isEmpty()) {
-			IPath containerLoc = new org.eclipse.core.runtime.Path(container);
+	private IContainer getContainer(String containerPath) {
+		if (containerPath != null && !containerPath.trim().isEmpty()) {
+			IPath containerLoc = new org.eclipse.core.runtime.Path(containerPath);
 			if (containerLoc.segmentCount() == 1) {
-				buildContainer = ResourcesPlugin.getWorkspace().getRoot().getProject(containerLoc.segment(0));
+				return ResourcesPlugin.getWorkspace().getRoot().getProject(containerLoc.segment(0));
 			} else {
-				buildContainer = ResourcesPlugin.getWorkspace().getRoot().getFolder(containerLoc);
+				return ResourcesPlugin.getWorkspace().getRoot().getFolder(containerLoc);
 			}
 		}
+		return null;
+	}
+
+	private void applyProperties() {
+		setBuildContainer(getProperty(BUILD_CONTAINER));
 
 		String buildCmd = getProperty(BUILD_COMMAND);
 		if (buildCmd != null && !buildCmd.trim().isEmpty()) {
@@ -137,9 +141,26 @@ public IEnvironmentVariable[] getVariables() {
 		return envVars;
 	}
 
+	/**
+	 * Set the build container based on the full path starting from workspace root.
+	 *
+	 * @param containerPath Path from workspace root.
+	 */
+	private void setBuildContainer(String containerPath) {
+		IContainer container = null;
+		if (containerPath != null && !containerPath.trim().isEmpty()) {
+			container = getContainer(containerPath);
+		}
+		setBuildContainer(container);
+	}
+
 	public void setBuildContainer(IContainer buildContainer) {
 		this.buildContainer = buildContainer;
-		setProperty(BUILD_CONTAINER, buildContainer.getFullPath().toString());
+		if (buildContainer == null) {
+			setProperty(BUILD_CONTAINER, ""); // overwrite old property value.
+		} else {
+			setProperty(BUILD_CONTAINER, buildContainer.getFullPath().toString());
+		}
 	}
 
 	public void setBuildCommand(String[] buildCommand) {
@@ -162,27 +183,12 @@ public void setCleanCommand(String[] cleanCommand) {
 		}
 	}
 
-	private void createBuildContainer(IContainer container, IProgressMonitor monitor) throws CoreException {
-		IContainer parent = container.getParent();
-		if (!(parent instanceof IProject) && !parent.exists()) {
-			createBuildContainer(parent, monitor);
-		}
-
-		if (container instanceof IFolder) {
-			((IFolder) container).create(IResource.FORCE | IResource.DERIVED, true, monitor);
-		}
-	}
-
 	@Override
 	public IContainer getBuildContainer() throws CoreException {
 		if (buildContainer == null) {
-			return super.getBuildContainer();
-		} else {
-			if (!(buildContainer instanceof IProject) && !buildContainer.exists()) {
-				createBuildContainer(buildContainer, new NullProgressMonitor());
-			}
+			setBuildContainer(getDefaultBuildContainer());
 		}
-		return buildContainer != null ? buildContainer : super.getBuildContainer();
+		return buildContainer;
 	}
 
 	/**