Abstract: The fireplace and chimney is provided made of specially formed stacked modular concrete units laid with several modular concrete masonry units in horizontal masonry courses, and specifically designed so a traditional clay flue liner may be inserted into the modular chimney as it is being erected. The sections making up the fireplace and chimney are the firebox, the damper level, the structural shelf level, the tapered smoke chamber level, and the chimney to form a naturally drafted masonry fireplace assembly.