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The project at Thompson Avenue will see the creation of 120 new houses in total, including 40 council homes that are now complete.
The first bricks were laid in March 2014 by City of Wolverhampton Council development partner Kier Partnership Homes, who have now signed off on the first council homes to be built in the city since the 1980s.
Councillor Peter Bilson, Cabinet Member for City Assets, said: "This is a historic milestone for the city.
"Seeing the build of the first new council houses in Wolverhampton for 3 decades complete is a proud moment.
"One of our key priorities is to increase the number of decent and affordable homes available in the city and the tenants in these properties are definitely benefiting from that."
The 40 new council homes are being managed by Wolverhampton Homes, who already manage more than 23,000 council homes in the city on behalf of the council.
The overall development will see a mixture of properties across the 7 acre site, ranging from bungalows to 4 bedroom properties.
These properties are part of the wider plans to regenerate the city and increase the number of decent and affordable homes in Wolverhampton.
Chris King, Managing Director for Kier Partnership Homes, said: "We are delighted and proud to have worked alongside Wolverhampton City Council to deliver the first new council homes in 30 years.
"Our partnership approach has meant that we were able to understand the client's needs, and provide high quality, sustainably designed homes for this development."
The overall development is expected to be completed in 2017.
- released: Monday 10 August, 2015