The Jiaodong Folk Culture Museum and Summer Garden are also part of the ecological restoration project of Weihai quarry.  Xiayuan Lake was originally a waste pit. With the mountains over exploited, the valley was full of rubble and rock dust—not even a blade of grass would grow there—making restoration almost impossible. 

The solution was to transform it into a reservoir, improving the landscape, and creatively combining the buildings with natural water feature while making full use of the low-lowing land to store water. The overall architecture gives expression to the essence of ancient Chinese architecture and is positioned between the mountains and waters.  The Folk Culture Museum integrates Weihai traditional folklore, intangible cultural heritage and historical stories through virtual reality, physical display, painting and audiovisual technology.  Set in the historical and cultural background of Weihai characteristics, the museum, through the representative scenes, reproduces the Weihai urban features and lives of local people, embodying the original and authentic Weihai regional culture and customs.