The multi‑storey parking garage industry in Jinan is entering a period of rapid growth, with substantial government subsidies accelerating the development of smart parking facilities.

Several Opinions of Jinan Municipality on Encouraging the Development of Public Parking Facilities (Main Text)

Article 1: In order to effectively alleviate the imbalance between parking supply and demand in our city and to encourage participation from multiple channels in the development of public parking facilities, these Regulations are hereby formulated in accordance with relevant national, provincial, and municipal policies and guided by the principle of “who invests, who benefits.”

Article 2: For the purposes of these Regulations, “public parking facilities” refer to parking facilities that are open to the public, meet the parking needs of motor vehicles, and are independently constructed (including parking facilities in residential communities; the same shall apply hereinafter). Such facilities primarily comprise underground parking facilities, above-ground multi‑storey parking facilities, and surface parking facilities, but do not include parking facilities required to be provided as part of construction projects.

Article 3: This Regulation shall apply to public parking facilities constructed and invested in within the jurisdictions of Lixia District, Shizhong District, Huaiyin District, Tianqiao District, Licheng District, and Jinan High-tech Zone. Other districts and counties may implement it by reference.

Article 4: Planning and Construction.

(1) Encourage the development, renovation, and expansion of public parking facilities by making effective use of both above-ground and underground spaces, as well as underutilized or idle facilities—including privately owned vacant lots belonging to government agencies, enterprises, institutions, and older residential communities.

(2) For public parking facility projects, the original approved master plan may remain unchanged, and the floor area shall not be included in the calculations of building density or floor area ratio.

(3) For public parking facilities subject to setback requirements, the required setback distance may be appropriately reduced, provided that the consent of adjacent stakeholders has been obtained.

Article 5. Land Supply.

(1) Non-profit public parking facilities constructed with fiscal funding may be allocated land through the allocation method.

(2) Operating public parking facilities constructed with investment from state-owned enterprises, state-controlled companies, and private capital may be granted land use rights through negotiated transfer.

(3) With the consent of the collective economic organization, temporary public parking facilities may be constructed on collectively-owned construction land.

(4) Public parking facilities constructed on land acquired in accordance with the law shall not be subject to re‑processing of land‑use procedures. Where the land was originally allocated, its original land‑use designation shall remain unchanged; where it was originally granted through land‑sale, the land‑sale premium shall, for the time being, not be adjusted.

(5) Public parking facilities that meet the requirements for property rights registration may be registered as a whole; they may not be subdivided or transferred. The land use shall be clearly designated as transportation hub land (public parking lot land).

Article 6 Tax and Fee Preferences.

(1) Entities engaged in the construction and operation of public parking facilities shall be entitled to fiscal and tax preferential policies in accordance with relevant national, provincial, and municipal regulations.

(2) Entities that utilize their own land to construct underground public parking facilities and face genuine difficulties in paying the urban land use tax may apply for a reduction or exemption.

Article 7: Commercial Amenities.

(1) For newly constructed public parking facilities with 100 or more parking spaces (including those required by planning regulations and subject to environmental impact assessment under the law, which shall comply with the prescribed EIA procedures), provided that the land use designation remains unchanged, the original functions are maintained, and the number of parking spaces is not reduced, ancillary commercial facilities up to 20% of the total floor area may be permitted to offset operating revenues.

(2) Encourage staggered‑hour sharing. Public and institutional parking facilities, as well as those of various enterprises, are permitted and encouraged to open their parking spaces to the public, thereby making better use of existing parking resources and generating corresponding benefits. Implement staggered‑hour parking arrangements, and encourage residential areas with suitable conditions to share parking spaces with nearby commercial and office buildings. Where feasible, individuals are also encouraged to leverage internet‑based information technologies to offer their privately owned parking facilities for short‑term or time‑shifted rental or loan, thus deriving appropriate economic returns.

(3) Public parking facilities that comply with outdoor advertising placement plans and landscape requirements may, upon approval by the urban management authorities, be equipped with advertising spaces.

Article 8: Operational Fees.

(1) Once newly constructed public parking facilities are officially put into operation and can adequately meet the surrounding area’s parking demand, on-street parking spaces within a 200-meter radius shall be gradually eliminated, with corresponding parking guidance systems concurrently upgraded and improved.

(2) Independently operated public parking facilities wholly funded and constructed by social capital in accordance with the law shall be subject to market-determined pricing, with fee standards set independently by the operators.

(3) The fee standards for public parking facilities constructed through land allocation shall be uniformly determined by the municipal pricing authority.

Article 9: Funding and Subsidies.

(1) In accordance with the principles of government guidance, policy support, and market‑driven operations, the municipal and district levels shall establish special funds for public parking facilities. Under a “reward‑in‑lieu‑of‑subsidy” mechanism, financial subsidies shall be granted to public parking projects invested in and constructed by social capital, provided that such projects comprise 30 or more parking spaces and are incorporated into the city’s unified parking management platform. The total amount of reward and subsidy shall, in principle, not exceed 25% of the total construction and installation costs (excluding land‑use expenses). Parking spaces receiving such subsidies shall be used exclusively for public service purposes; they may not be sold or otherwise disposed of in disguised forms, and their proper maintenance and operation must be ensured.

(2) The award and subsidy funds shall be shared equally, with 50% borne by the municipal finance and 50% by the district finance.

(3) Award and Subsidy Standards.

1. Underground parking facilities: A subsidy of RMB 20,000 per parking space is provided for dedicated underground parking garages.

2. Above-ground multi‑level parking facilities: For multi‑storey parking garages, the subsidy is RMB 15,000 per parking space; for lift‑and‑slide and simple lift‑type mechanical parking systems, the subsidy is RMB 6,000 per space; for vertical‑lift (tower‑type), aisle‑stacking, flat‑travel, vertical‑circulation, horizontal‑circulation, and multi‑level circulation mechanical parking systems, the subsidy is RMB 12,000 per space.

3. On‑street parking facilities. For on‑street parking lots that are not attached to any construction project and have been in use for at least two years, a subsidy of RMB 500 per parking space will be provided. For open‑air parking lots installed on the rooftops of above‑ground buildings and in use for at least two years, a subsidy of RMB 2,000 per parking space will be granted.

Article 10. Processing of Awards and Subsidies.

(1) The entity applying for the award and subsidy shall submit the application materials to the construction administrative department of the district where the project is located. The district-level Joint Conference on Public Parking Facility Construction will conduct a preliminary review of the submitted materials and issue its review opinion.

(2) For applications that pass the initial review and meet the requirements, each district shall submit a request for awards and subsidies to the municipal construction administrative authority. Following a joint review by the municipal construction administrative authority and the municipal public security traffic management authority, a review opinion shall be issued, and a plan for the allocation of award and subsidy funds shall be proposed. The municipal finance authority shall disburse the municipal-level award and subsidy funds to the district finance authorities, which shall then allocate both the district-level and municipal-level award and subsidy funds to the applicant entities.

(3) Subsidies for underground parking facilities and above-ground multi‑level parking facilities shall be disbursed in two installments: 40% upon project acceptance and filing, and the remaining 60% three months after the project commences operation; for surface parking facilities, the full subsidy shall be disbursed after two years of operation.

Article 11: Applicants for award and subsidy funds shall be responsible for the authenticity of the materials they submit. Any instances of fraud or unauthorized sale of parking spaces, once discovered, will result in the revocation of all applicable support policies and lawful penalties, with such misconduct being recorded in the enterprise’s or individual’s integrity file.