SINGAPORE - A joint venture between Woh Hup and Obayashi Singapore has been awarded a $1.57 billion contract to build Changi Airport's Project Jewel and carry out expansion works for Terminal 1.

Construction works are expected to begin by the end of the year, said the Jewel Changi Airport Trustee and the Changi Airport Group (CAG) in a joint statement on Tuesday.

Project Jewel, to be largely built on the 3.5 ha carpark site facing T1, will be a 1.4 million square feet complex with retail outlets and airport services. Designed by renowned architect Moshe Safdie, it will feature a distinctive dome-shaped facade made of glass and steel.

With the redevelopment, the T1 building will also be expanded to have a larger Arrival Hall and more spacious baggage claim areas, as well as a five-storey basement car park.

Project Jewel and the majority of expansion works for T1 are targeted for completion by the end of 2018.

Mr Philip Yim, chief executive officer of Jewel Changi Airport Devt, said: "We received very competitive proposals, and the past few months have been intensive as we went through a very rigorous process with several rounds of evaluation together with the tenderers."

Woh Hup has built numerous landmarks in Singapore, including Clifford Pier and MacDonald House in the earlier years, and the recently completed conservatories at Gardens by the Bay. Its other projects include The Interlace at Depot Road and MRT stations such as Promenade and Holland Village.

Its partner Obayashi Corporation established its Singapore office in 1965 and has since completed projects including the new wing at Plaza Singapura, Singapore Management University's city campus and the Esplanade Bridge.