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Work will start in May on a future kiosk and public toilet block in Foreshore Park.
Newcastle councillors voted unanimously on April 23 to accept a $3.39 million tender from Skelcon Pty Ltd for the project, which will include unisex ambulant toilets, a parent's change room, and a changing places facility that provides suitable facilities for people who cannot use standard accessible toilets.
The project also includes space for a future kiosk.
The existing playground will be removed to make way for the building.
Newcastle lord mayor Nuatali Nelmes said the new amenities building was an essential step in delivering an adopted masterplan for Foreshore Park, which includes a regional inclusive play space and water play area, picnic and barbecue lawn areas, landscaping, trees and shade, a number of event spaces and a cultural walk.
"The accessible amenities and future kiosk will complement other elements of the Harbour Foreshore Masterplan and enrich the park that Novocastrians and visitors know and love," Cr Nelmes said.
"These early works will help realise the full potential of our adopted masterplan for our premier city park and major event space, creating a draw card destination for locals and visitors from across the region to enjoy whilst connecting our city with our harbour's edge."
The centrepiece of the masterplan will be Livvi's Place, an inclusive regional playground and water play area, designed in consultation with the community and Touched by Olivia, a charity dedicated to the delivery of inclusive plays paces across Australia.
The amenities project is supported by the Newcastle Port Community Contribution Fund.