Fulton Hogan is building the first stage of the cycleway and have begun work on building the section that runs along Suva Street and Ballantyne Avenue in Upper Riccarton.
Shortly they will begin work on the section that runs along Elizabeth Street between Wainui Street and Deans Avenue.
That work will involve some major changes to the way that Elizabeth Street functions.
Cul-de-sacs will be created at both the Wainui Street end of Elizabeth Street and the Clarence Street end of Elizabeth Street.
Elizabeth Street will also be realigned at its intersection with Division Street.
Council transport planning and delivery manager Lynette Ellis said the layout changes on Elizabeth Street should make the road safer and quieter as it will result in less through traffic.
"While the cycleway is being built, we are taking the opportunity to complete some stormwater upgrades and to do some kerb and channel renewal work.
"We will also be putting in new street lighting and traffic lights at the intersection of Matipo and Elizabeth streets."
During construction, there will be some restrictions on parking in the area and some detours in place, Ellis said.
"If you are driving through that area please be on the look-out for changes to traffic management and follow the signs."