A new 720-space multi storey car park next to CMK rail station will be up and running by next year, the council has announced.
The seven storey structure will be built on Elder Gate, between the station and Morrisons on land owned by the council through Milton Keynes Development Partnership.
It is understood the cost is around £10m.
Last week Councillor Martin Gowans approved the successful contractor who will design and build the car park. Work is expected to start in April 2019 and "will only take a few months" said Cllr Gowans, who is Cabinet Member for Public Realm.
He said demand for parking spaces is expected to rise over the next three years and the new multi storey will help meet that demand. It will also help fill the gap caused by the loss of 300 parking spaces as a result of the expansion of the Santander HQ in 2020.
It is understood the structure will be clad with ultra-modern stainless steel mesh screening.
Cllr Gowans said: “The new Multi Storey car park is a big investment for the council and we believe that it will improve parking provision in CMK. ”
He did not reveal the chosen contractor but said: “The successful tender is a reputable company that have put in place a strong financial proposal. I look forward to them completing the new multi storey car park to a high standard and helping to meet demand for parking in the city centre.”