As a concentrated embodiment of urban historical sites, cultural relics and cultural heritage, the old city of Beijing has the most intensive historical and cultural resources and the most stringent requirements for historical protection. At the same time, it also faces a series of development problems to be solved, such as insufficient development space, lagging public service facilities, and urgent improvement of living environment. How to effectively utilize the underground space resources and coordinate the relationship between historical protection and urban renewal is an important issue for the sustainable development of the old city of Beijing. In this paper, the development and utilization strategies of the underground space in the old city of Beijing are systematically studied, as well as the reasonable utilization methods of the underground space in the historical protection areas. Through the development and utilization of underground space, we can make up for the shortage of public service and better improve the ground space environment. In addition, this paper also discusses the integrated development of underground space and metro stations, so as to enhance the urban renewal and development of the station areas. The relevant data and conclusions are from the latest planning and practical experience of Beijing old city, in order to provide useful reference for the sustainable development of historical urban areas and the scientific utilization of underground space resources.