To the skies or underground? How should Guangzhou’s multi‑level parking evolve?

The No. 5 Space Multi‑Level Parking Garage, located on Shatai Road in Tianhe District, addresses the challenge of finding parking. On November 14, the New Express published a special report titled “How to Break the Impasse in Shared Parking” (see pages 3–7 of the newspaper), aiming to more effectively address the issue of high rates of underutilized parking spaces.
The shortage of parking spaces relative to the number of vehicles is the root cause of parking difficulties. Some experts have pointed out that… To address the challenge of urban parking shortages, in addition to improving the utilization rate of existing parking spaces, increasing the overall supply of parking spots is another effective strategy. With limited land resources, how to maximize spatial efficiency—by expanding parking facilities vertically and underground—has become a key topic of discussion. In an era of rapidly growing vehicle numbers, traditional parking structures are often impractical due to their large footprint and the scarcity of developable space in central urban areas. Against this backdrop, “multi‑storey parking systems,” which offer advantages such as minimal land use, high space efficiency, and advanced automation, have emerged as a viable solution. Many cities are even turning to mechanized multi‑storey garages to alleviate parking pressures. In recent years, the intensive rollout of national and local parking policies has significantly accelerated the growth of the mechanized parking equipment sector. According to the “2018 China Parking Industry Development White Paper,” jointly released on May 31 this year by Beijing Tsinghua Tongheng Planning and Design Institute Co., Ltd. and the Parking Equipment Working Committee of the China National Heavy Machinery Industry Association, 865,542 new mechanized multi‑storey parking spaces were added nationwide in 2018, with 60.62% serving residential communities, 16.34% for institutional use, and 23.04% providing public amenities. Guangzhou has also adopted proactive measures to promote and incentivize the installation of mechanized multi‑storey parking systems. The “Guangzhou Parking Lot Regulations” (hereinafter referred to as the “Regulations”), which came into effect on October 1, 2018, explicitly stipulate that administrative departments responsible for land and planning must streamline approval procedures and enhance processing efficiency for applications to install such systems. Furthermore, if these systems meet the requirements for real estate registration, property rights can be formally registered according to the actual land area occupied and relevant regulations. For mechanized multi‑storey parking facilities subject to government‑set or guided pricing, service fees may be appropriately adjusted upward. To further encourage investment in and construction of mechanized multi‑storey parking infrastructure, the “Administrative Measures for the Installation of Mechanized Multi‑Storey Parking Facilities in Guangzhou” took effect on October 1 this year. More than a year after the Regulations’ implementation, the development of multi‑storey parking systems in Guangzhou appears to echo today’s popular sentiment: “It’s just too hard.” During field visits, reporters from the New Express learned that factors such as vehicle retrieval times, return on investment cycles, and approval procedures are critical determinants affecting the expansion of multi‑storey parking facilities. Industry insiders note that while Guangzhou currently offers policy‑level incentives for installing mechanized multi‑storey parking systems, specific supporting policies and detailed implementation rules remain迟迟未出台—“how to simplify approval processes, and exactly which procedures to streamline, still remains unresolved.” What bottlenecks must be addressed to enable faster, more effective development of multi‑storey parking systems in Guangzhou?And how can these systems play an even greater role in alleviating urban parking shortages? In response, the New Express has launched a special feature focusing on “mechanized parking equipment.”

Multi‑storey parking garages help increase the number of parking spaces.

Experts say that multi‑storey parking garages face challenges such as lengthy construction approval processes and difficulties in recouping investments, amid a shortage of parking spaces. This is the root cause of Guangzhou’s parking difficulties. The Guangzhou Parking Lot Regulations, which came into effect on October 1 last year, explicitly encourage the installation of mechanical, multi‑level parking systems. But what is the actual situation with such facilities in Guangzhou today? And how receptive are residents to this type of parking? Recently, reporters from the Xin Kuai Bao split into several teams to conduct on‑site visits to numerous multi‑level parking garages across the city, identifying the key challenges hindering their further development. On-site visit to Guangyao’s multi-story parking garage : Parking equipment is simple and safe, but some vehicle models cannot be parked. At around 4:30 p.m. on November 15, a reporter from the Xin Kuai Bao visited the Guangyao multi‑story parking garage near No. 50, Zhuisigang Second Road, Yuexiu District. Located right next to the First Affiliated Hospital of Guangdong Pharmaceutical University, the facility has 20 parking spaces, with four reserved for future use. A sign indicates an hourly rate of 6 yuan, and a night‑time rate of 20 yuan for 13 hours. “There are several major hospitals in the area—Zhongshan Medical University, the Provincial People’s Hospital, and the First Affiliated Hospital of Guangdong Pharmaceutical University—and parking is especially tight between 9 a.m. and 11 a.m. Sometimes drivers spend two hours searching without finding a spot,” said Mr. Zeng, a garage employee, adding that the parking lot is operated jointly by the hospital and a property management company. The Xin Kuai Bao reporter observed that even during off‑peak hours, the garage was already filled with 16 vehicles. Mr. Zeng explained that the Guangyao multi‑story garage uses a lift‑and‑slide parking system, which is more economical and simpler than other mechanical automated parking structures, while still incorporating adequate safety measures. After a vehicle is parked and the driver leaves, staff operate a control switch, and the system automatically moves and lifts the car. The equipment is equipped with infrared sensors; if someone enters the parking area, it will immediately stop to ensure safety. However, the garage does impose size and weight restrictions—for example, SUVs cannot be accommodated. Lingnan E-commerce Park Multi-Story Car Park :High expenses for equipment maintenance and upkeep; the investment is expected to pay off in three to four years. November 15th Meanwhile, another team of reporters visited the multi‑storey parking garage located within the Lingnan E‑Commerce Park in Panyu District. The facility has been in operation for nearly two years and offers 120 parking spaces across five levels. According to an administrator from Shenzhen Kegel Intelligent Transportation Services Co., Ltd., the company that invested in and operates the garage, the mechanical parking system cost close to RMB 3 million, or about RMB 25,000 per space on average. The administrator noted that most users are employees of the park, with monthly subscriptions outnumbering short‑term parkers. With a daily vacancy rate of roughly 30% to 40%, the garage generates approximately RMB 2,000 in revenue each day. The reporter learned that monthly parking at the Lingnan E‑Commerce Park’s multi‑storey garage is priced at RMB 350, while hourly rates for temporary parking are RMB 4, with the first two hours charged at only RMB 2 per hour. The administrator told the Xin Kuai Bao reporter that substantial expenses include equipment maintenance, electricity costs, and staff training and management. “As maintenance and upkeep costs rise over time, we estimate it will take three to four years to recoup our investment,” the administrator explained. To demonstrate the system, the administrator retrieved a vehicle parked on the third level in just 40 seconds. By entering the vehicle’s assigned number into the control panel, the machinery automatically shifts horizontally and moves vertically. According to the operator, both parking and retrieval typically take less than 30 seconds; vehicles stored on the fifth level require no more than about one minute. Baifu Plaza Multi-Level Parking Garage : The equipment operates at a relatively slow pace; during meal times, picking up a vehicle can take about half an hour. Located at the intersection of Tiyu East Road and Hua… The intersection of Wen Street Located next to Baifu Square, it is a small, open-air, multi‑level parking facility. The lot features seven six‑story parking racks arranged side by side, with a corresponding row of surface parking spaces on the opposite side, creating a highly compact use of space. A New Express reporter measured the site on location: the parking area is long and narrow, covering roughly 760 square meters. “Before the racks were installed, this space could accommodate only about 30 vehicles; after the installation, it can hold over a hundred,” said a parking‑lot attendant. However, due to the limited footprint, only one vehicle can be processed at a time, with others waiting nearby. Four or five staff members are stationed inside to direct traffic, guiding each car into a rack and then lifting it to an available spot on an upper level. Because the barriers and racks move up and down at a steady pace, it takes about one minute from entering the system to completing the maneuver. “The fastest takes just over a minute; slower cases may take around five minutes,” the staff explained. Slower turnaround times have long been a challenge for automated parking systems, and during peak periods—such as dinner hours or weekends—queues can easily form. The New Express reporter visited at approximately 5:30 p.m. on Sunday, November 17, right around dinnertime. Over the 15-minute observation period, five or six cars entered and parked, while outside the lot, up to four or five vehicles were lined up, waiting to gain access. Staff noted that retrieving a car is even slower than parking: “Sometimes, after dinner, when a group comes to pick up their vehicles, the wait can stretch to as long as half an hour.” Notably, not all vehicles are eligible for storage in the automated system. The “Parking Guidelines” posted at the entrance specify size and weight restrictions; vehicles that exceed the prescribed dimensions—whether in length, width, height, or weight—are directed to surface parking spaces instead. Jinyang Garden Multi-Story Car Park : Cooperative installation of automated parking systems, with revenue shared between the property owner and the manufacturer. At the entrance of Tuoye Building in Jinyang Garden Community, Yuexiu District, there is an open space measuring approximately 30 to 40 square meters. , Previously, the ground could only accommodate just over ten vehicles. On November 16, a reporter from Xin Kuai Bao… The person came here to conduct an interview. The security guard told a reporter from the Xin Kuai Bao that a mechanical multi‑level parking structure was installed about seven years ago, adding an automated system on top of the existing surface parking spaces. “This effectively doubles the usable ground‑level area, and the facility can currently accommodate up to 35 vehicles.” According to the explanation, the fees for this compact mechanical parking system are set in line with the charging standards applied at shopping malls and other similar facilities: 12 yuan per hour during the day, capped at 60 yuan; at night, the cap is 10 yuan, with a 24‑hour maximum of 70 yuan. Unlike other parking garages, this mechanical system operates under a cooperative arrangement, with the property owner and the equipment provider sharing parking revenues according to a predetermined ratio, while the manufacturer promptly handles subsequent maintenance issues. At present, there are two main models for installing multi‑level parking structures across the city: one is where the property management purchases the system outright and subsequently pays for maintenance; the other is a cooperative model, under which the manufacturer receives a share of the parking revenue.

The underground mechanical parking garage of the Guangzhou Women and Children’s Center.

Multi‑storey parking garages impose size restrictions on vehicles, including length, width, and height. Attitudes of all parties, car owners Some say the parking spaces are narrow and it takes a long time to retrieve a car, while others praise its space-saving design, which allows more vehicles to be parked. For multi-story parking garages So, how do Guangzhou drivers feel about it? During our走访, we learned that some drivers support the idea, noting that parking is particularly challenging in the old city districts and that multi‑storey car parks are a viable solution. However, others express concerns about safety, difficulty in maneuvering into spaces, and slightly longer times required to park or retrieve their vehicles. “It’s just too hard to park!” said Ms. Lin, who has two years of driving experience and works in Tianhe District, after attempting to use a multi‑storey garage for the first time. She explained that at Baifu Plaza’s multi‑storey facility, drivers must back into their spots, and because there’s a raised section in the middle of the parking frame, the entire vehicle needs to be aligned precisely. “I can understand why it’s so strict,” she added, pointing out that, given safety considerations, improper handling could lead to more serious damage than the minor scrapes one might encounter when parking on the ground. Ms. Liu, who obtained her driver’s license only this May, shares the same view. She rents a monthly parking space in the Lingnan E‑commerce Park, but prefers conventional surface parking because the multi‑storey bays are narrower and the process of retrieving a car takes longer. A reporter from the New Express Daily observed that these multi‑storey garages are equipped with infrared sensors; if a vehicle isn’t properly positioned, an alarm will sound continuously before the lift begins operating. Zeng Dexiong, a deputy to the Guangzhou Municipal People’s Congress, told the New Express Daily that he himself has used multi‑storey parking systems multiple times in Yuexiu, Baiyun, and other districts. In practice, he found both entering and exiting the spaces rather inconvenient: “At present, most multi‑storey parking facilities in Guangzhou fail to take drivers’ user experience into account, which in turn affects public acceptance.” During interviews, some drivers voiced concerns about safety—could the lifting mechanism damage their vehicles? The administrator of the Lingnan E‑commerce Park’s multi‑storey garage assured the New Express Daily that the manufacturer conducts routine inspections at least once a month to ensure safe operation. He added that, despite nearly two years of service, the facility has experienced only a single instance of equipment malfunction. Meanwhile, Mr. Li, who rents a monthly parking space at the Guangzhou Pharmaceutical Corporation’s multi‑storey garage, believes such facilities offer an effective way to address parking shortages in older urban areas. “In historic districts like Liwan and Yuexiu, building a large‑scale new parking lot is extremely difficult, whereas constructing a high‑rise multi‑storey garage on an available plot of land is relatively straightforward,” he said. In fact, he noted, parking in a multi‑storey garage is quite convenient. Property management : Initial investment and ongoing maintenance costs must not be overlooked. Although the Guangyao Garage is a small, rudimentary parking lot, The approval process was lengthy as well. Mr. Zeng, a staff member at Guangyao’s automated parking garage, explained that the company began applying for permits for this project in 2014. Obtaining the planning permit alone took two to three years, and when factoring in procedures for land use, business licensing, construction permits, operation of special equipment, fire safety, and other formalities, the facility did not officially open until 2017. Can such an automated parking system turn a profit? Mr. Zeng told a reporter from Xin Kuai Bao that the initial investment in equipment was approximately RMB 1 million, with annual maintenance costs of RMB 30,000 and monthly labor expenses of RMB 10,000. In addition, as specialized equipment, the automated parking system requires biennial inspections, which also represents an ongoing expense. Moreover, the parking lot exhibits pronounced tidal patterns: demand peaks in the morning, while parking needs are relatively low in the afternoon and evening, resulting in a maximum overall utilization rate of only about 46%. According to reports, the property management company has signed an eight-year cooperation agreement with the First Affiliated Hospital of Guangzhou Pharmaceutical University. Under the terms, the property management company rents the parking‑lot land rent‑free; however, upon expiration of the contract, ownership of the parking equipment reverts to the hospital. Whether the investment can be recouped within those eight years remains uncertain for the enterprise. Lu Junyu, manager of the property department at No. 5 Space Creative Park, told a Xin Kuai Bao reporter that the park currently hosts more than 200 companies. In 2016, nearly RMB 2 million was invested to construct a vertical‑circulation automated parking structure that occupies the footprint of just two or three conventional parking spaces yet accommodates 24 vehicles, effectively easing the local parking shortage. Lu Junyu acknowledged frankly that the primary motivation for installing the automated parking system was to provide adequate parking infrastructure, rather than to focus on profitability. At present, monthly rental for a reserved parking space is RMB 600, and when combined with maintenance fees and depreciation costs, “by these calculations, it will likely take around ten years to break even.” Equipment company “Applying under the construction engineering category results in a lengthy approval process.” In the interview Zhong Ruibo, head of the South China Regional Marketing Department at Sanpu Parking Garage, told a reporter from the New Express Daily, “We have built more parking garages in Guangxi and Shenzhen than in Guangzhou. In Shenzhen, the government offers subsidies to support fully privately‑funded mechanical multi‑level parking facilities that meet the eligibility criteria.” On July 4 this year, Futian District in Shenzhen introduced the city’s first subsidy policy for parking facilities, issuing the “Detailed Rules for the Implementation of Investment Subsidies for Parking Facilities Constructed by Social Capital in Futian District (Trial),” which officially took effect on July 15, 2019. Subsidies for mechanical multi‑level parking structures are divided into three tiers based on type: RMB 8,000, RMB 20,000, or RMB 30,000 per parking space. By contrast, Guangzhou’s current policies encourage private investment in mechanical multi‑level parking facilities but have yet to introduce any related subsidy measures. Furthermore, the reporter noted that Article 24 of the Guangzhou Parking Regulations stipulates that existing parking garages seeking to install multi‑level parking equipment must obtain a construction project planning permit—unless they simultaneously satisfy four conditions, including a capacity of no more than 50 spaces and a height not exceeding 6 meters, in which case such a permit is not required. “For multi‑level parking structures under 6 meters in height, the additional parking spaces are limited,” said Zhong Ruibo. He added that multi‑level parking facilities with more than 50 spaces must be submitted for approval under the “construction engineering” category. “Treating these structures as buildings requires submitting the same documentation and data typically needed for high‑rise buildings—such as red‑line setbacks and floor‑area ratios—which are difficult to provide for multi‑level parking systems, making the approval process extremely challenging.” “Applying through the construction‑engineering channel results in a lengthy review cycle, which is our biggest headache,” remarked Zhan Qiandun, manager of the marketing center at Hubei Qixing Intelligent Co., Ltd. He pointed out that while Guangzhou encourages the installation of mechanical multi‑level parking equipment, the implementation of relevant policies remains constrained by vague regulations, including unclear procedures for project filing and application, fragmented responsibilities among functional departments, and the absence of a designated lead agency to provide guidance. He expressed hope that the relevant authorities will coordinate and advance the planning, construction, operation, and management of mechanical multi‑level parking facilities. Experts analyze that multi‑storey parking garages can help address the shortage of parking spaces. Specific implementation is still required. Li Xujin, vice president of the Guangzhou Parking Industry Association, said in an interview with a reporter from Xin Kuai Bao that… To alleviate the parking shortage, we need both to increase the overall supply of parking spaces and to make better use of existing parking facilities. Promoting the construction of mechanical, multi‑level parking structures is aimed at addressing the issue of increasing capacity. In his view, the proportion of such automated parking spaces in Guangzhou remains very low. That said, Guangzhou has already introduced relevant regulations explicitly encouraging the installation of multi‑level parking systems—this is a positive signal—but many aspects still require concrete implementation. Li Xujin summarized the current challenges facing mechanical, multi‑level parking facilities: lengthy approval processes, unclear guidelines, difficulty in recouping investments, and high ongoing maintenance costs. “There should be clear guidance on which locations are suitable for such systems and which are not, which authorities to approach, and what the timelines and procedures entail,” he said. To ensure smoother deployment, he added, specific implementation rules are needed, along with a unified coordinating body. He cited an example from Yuexiu District in Guangzhou: a property developer began applying to build a mechanical, multi‑level parking facility back in 2015, yet construction only commenced recently. “The long approval periods and extended payback times can deter investors,” Li noted. Furthermore, he pointed out that, at present, these multi‑level parking systems operate on a virtual‑space basis, with parking spots not fixed; whether flexible arrangements can be made regarding ownership and sales warrants further study. Extending to multiple regions, the construction approval process has been streamlined and can now be filed as a special‑equipment project. To strengthen the development of mechanical multi‑storey parking facilities In many cities—including Shanghai, Shenzhen, Zhengzhou, Shenyang, Xiamen, Chengdu, and Jinan—corresponding policies have been introduced, and streamlining the approval procedures for constructing multi‑level parking facilities has become a widely shared consensus. On January 2 this year, the General Office of the Jinan Municipal People’s Government issued the “Administrative Measures for the Approval of Public Parking Facility Construction in Jinan” and the “Several Provisions of Jinan Municipality on Encouraging the Construction of Public Parking Facilities.” These measures stipulate that public parking projects—including mechanical multi‑level parking—are subject to centralized review by a district‑level joint conference, with acceptance of applications even if some documents are missing, and completion in a single step. For residential communities and organizations that utilize their own land to build mechanical parking structures, they are exempt from obtaining permits for construction planning, land use, environmental impact assessment, and construction. In terms of subsidies, for above‑ground multi‑level parking facilities, depending on the type, eligible parking spaces can receive one of three subsidy levels: RMB 6,000, RMB 12,000, or RMB 15,000 per space. Similarly, Chengdu has adopted a joint‑conference review system: enterprises, institutions, residential communities, and individuals who use their own land to construct small‑scale multi‑level parking facilities are exempt from obtaining permits for construction planning, land use, and construction. Meanwhile, the “Provisional Measures for the Administration of Mechanical Multi‑Level Parking Facilities in Shenzhen,” promulgated on January 3, explicitly state that the installation of above‑ground mechanical multi‑level parking facilities, or the retrofitting of existing underground spaces with such systems—provided there is no human activity within the facility—is, in principle, classified as special equipment; whereas the installation of underground mechanical multi‑level parking facilities is, in principle, classified as building works, with application procedures following relevant regulations for construction projects.