They probably assumed this is like a theme park or something and not an actual city that people actually live in year round. Cities having nice, people friendly places away from cars? Who’s ever heard of that?
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I'm reading that less as "amazing German efficiency" and more as "WTF, they waste the space on a parking lot the rest of the year?"
It's called an event space and it can't be occupied all year. There's stuff going on pretty frequently but when it ain't, it's gonna have to be a skatepark + parking lot.
It ain't just Christmas. There's holiday markets for every season and even off holiday there is frequent flea markets. It's even where popular bands will hold their concerts. Without a dedicated space like that, it's impossible to set up these kind of markets and fairs. It's inevitable that some days it'll sit empty.
You try setting up a ferris wheel and rollercoaster in the cramped areas of the city. It won't work.
As a German, I have never been to a Christmas market held in an event park. I know Christmas markets as just occupying the town square or city centre instead of a dedicated area away from it.
Event parks are in my experience usually just used for fairs, food festivals and sometimes concerts.
When it isn't otherwise occupied, instead of a parking lot, it could just be a park.