Summary: In this paper, a new cellular automata model is proposed to simulate the car and bicycle heterogeneous traffic on urban road. To capture the complex interactions between these two types of vehicles, a novel occupancy rule is adopted in the proposed model to consider the variable lateral distances of mixed vehicular traffic. Based on massive simulations, microscopic fundamental diagrams under different bicycle densities are devised. With these, the bicycle's spilling behavior is then investigated and discussed. In order to reflect the interference of a bicycle on a car, the interference transformation from friction state to block state is modeled explicitly. Finally, different simulation results under different occupancy rules indicate that the constant and fixed occupancy rule adopted in the previous studies might lead to overestimation of car flux in the heterogeneous traffic flows with different bicycle densities. Copyright © 2013 John Wiley & Sons, Ltd.