"He has a good pedigree, we are getting him at a good age and the fact that he can play both at centre-half and in midfield is a big bonus for us," Gers boss Walter Smith told the official Rangers website.
"I think he has the capability of playing in both areas for us. He is a good footballer and I think he will add to our team.
"When we found out he was available we moved for him and we just managed to pip West Brom for his signature."