AM Griffiths has been appointed contractor for the work, which will get underway on Monday 30 September, 2013.
The hub will offer library and information services, a community centre and youth services and will be based in the remodelled Whitburn Close building which already hosts the library and community centre.
A range of youth services will relocate from Mirage Youth Club and also be offered from the new hub.
Extensive modernisation work will be taking place including electrical upgrades, improvements to the kitchen, the replacement of windows and roof lights, repairs to the flooring and general redecoration.
The work is expected to take between 6 and 7 months to complete, during which time the building will be unavailable to the public. Alternative arrangements are being made to allow community activities to continue in the local area, though it will be necessary for the library service to be suspended on a temporary basis.
Councillor Elias Mattu, Wolverhampton City Council's Cabinet Member for Leisure and Communities, said: "These are exciting plans which will see the creation of an excellent new facility for the whole community.
"As well as providing a better home for the library, we're hoping that the move will also increase the number of people taking advantage of the community facilities.
"There is a great deal of work to be done at Pendeford. While this is taking place we will be unable to use the building.
"We've made alternative arrangements to enable the community centre to continue to operate during this time, and we have also been working hard to find another location from which to offer the library service while the work takes place.
"Negotiations are ongoing and we are hopeful that we will be able to secure temporary alternative premises that will limit the impact of the suspension of library provision from Pendeford.
"We hope to be in a position to say more about this shortly, but in order that the building can be vacated to enable construction work to start, the existing library service will be suspended from Saturday 21 September, 2013.
"I'd like to reassure customers that we are doing all we can to make alternative arrangements for the service, and in the meantime we will allow them to borrow as many items as they wish and have extended loan periods. They can also use any of the other libraries across the city and return items to the nearby St Pauls C of E Church.
"We appreciate that the temporary suspension of the library service will cause some inconvenience. We hope that customers will bear with us during this time, because we are sure they will find that their fantastic new facilities will have been worth the wait."
The hubs are being developed in phases across the city with the first few, including Pendeford, due to open next year. Councillor Mattu added: "The city council is facing unprecedented financial pressures and we are working hard to protect essential services as best we can.
"These hubs seek to safeguard our libraries, community centres and youth centres by bringing them together under one roof."
- released: Monday 9 September, 2013