Development work has already begun on the site off Ward Street and Coningsby Drive in Ettingshall.
Councillor Beverley Momenabadi, who last year worked with the council to roll out a public consultation asking residents what they would like the land to be used for, said the new facility would be completed by the spring.
The park, which will incorporate dozens of new trees, shrubs and flowering plants as well as the children’s play equipment, borders the area’s new Ettingshall Place housing development.
Persimmon Homes recently completed construction of 460 new homes on the site, providing housing for an estimated 2,200 people.
Councillor Momenabadi, 29, said: “It’s been an amazing journey to see this project go from consultation to reality.
“As I sat on the new swings at the site during a recent visit, I felt hugely proud of what our council has achieved.
“This park will bring so much joy to the lives of local families and residents and I can’t wait until everyone can enjoy the new space. This is a major boost for Ettingshall and Wolverhampton on the whole.
“Almost £800,000 is being spent to build a new play area, a multi-purpose gaming area, cricket pitch and adult gym equipment, as well as the planting of a variety of new trees, shrubs, flowering plants, grassed areas and wild flowers,” she added.
Councillor Momenabadi was joined on a recent visit to the site by Councillor Steve Evans, the council’s cabinet member for city environment.