The seven-story Hotel Indigo Changi Airport would be built above a bus station at the southern end of the terminal, and could be easily accessed via a linkway, The Straits Times quoted airport operator Changi Airport Group as saying in a statement.
This would be the third hotel inside Changi after YoteLair on the fourth floor of Jewel Changi Airport and Crowne Plaza Changi Airport at Terminal 3.
Hotel Indigo will have 255 rooms, a rooftop day club, bar, and infinity pool with views of the runway, airport boulevard, and skyline, according to Channel News Asia.
It would use solar panels, hybrid cooling systems, naturally ventilated corridors and rainwater-harvesting technology to make it environment-friendly.
It will have greenery stretching over all seven floors.
Some 16.5 million passengers passed through the airport in the first three months of this year, surpassing pre-pandemic levels on a quarterly basis for the first time.
Last year the number of foreign visitors to Singapore increased by 115% to 13.6 million.
This year, Doha's Hamad International Airport dethroned Changi to claim the title of world's best airport at the annual Skytrax awards.
But Changi was still named the world’s best airport for immigration services.