The former Wigan frontman has penned a three-year deal to join the Craven Cottage club subject to a work permit.
Rodallega had become available on a free transfer after his contract with Wigan, where he spent the past three years, expired last month.
Despite managing just two goals last term the Colombia international had reportedly also drawn interest from Everton and Aston Villa, and admitted he had hoped to remain in England.
"I'm thrilled to have signed for Fulham football club," Rodallega told the club's official website.
"I wanted to stay in England and I'm delighted that I now have this opportunity with Fulham.
"I would like to thank the staff and fans of Wigan Athletic for three and a half wonderful seasons there.
"I'm looking forward to pre-season training with the rest of the Fulham squad and starting a new chapter in my career."
Manager Martin Jol described Rodallega's arrival as a "massive boost" ahead of the new campaign.
Fulham's strike options have been weakened over the summer following the departure of Andy Johnson while Pavel Pogrebnyak, who impressed on loan in the second half of last season, opted to join newly-promoted Reading.
"I am delighted that Hugo has decided to join Fulham," Jol said.
"There has been a lot of interest in him from other top flight teams in England and abroad, so to be able to add his quality to our squad is a massive boost this early in our preparations for the new campaign.
"He is a great addition and I think he will contribute very well to our style and philosophy here."
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