Cole was selected from a shortlist of 15 former players by fans worldwide through an online public vote and the Premier League Awards Panel.
He joins fellow former England internationals Ashley Cole and John Terry who have also received the Premier League's highest individual honour this year.
The Hall of Fame celebrates individuals who have an exceptional record of success and have made a significant contribution to the Premier League since its inception in 1992.
One of the Premier League's most prolific strikers, Cole scored 187 goals and provided 73 assists in 414 Premier League appearances. He ranks fourth on in the league's all-time goalscoring charts, with his goal tally all the more remarkable given just one of them came from the penalty spot.
Cole won the 1993/94 Golden Boot after netting 34 goals for the Magpies in his first season in the Premier League, and raced to 50 Premier League goals inside just 65 games.
In January 1995, Cole moved to Manchester United, where he wong five Premier League titles, and later featured for Blackburn Rovers, Fulham, Manchester City, Portsmouth and Sunderland before announcing his retirement in 2008.
"I’m proud of everything I've achieved in football, which is thanks to my family, my coaches and my team-mates, and being inducted into the Hall of Fame makes me very proud," said Cole.
"Football is a game of ups and downs, but I enjoyed every single minute of my career. My dad wanted me to play cricket, but I said, 'no Dad, I think I'm good at football'. Looking back at my career always fills me with great pride and puts a smile on my face.
"The reason you play football and compete at the highest level is to win major honours. It was so, so special for me to win so many trophies and five Premier Leagues. To get my first one was crazy and after that I just wanted to win more."
All inductees receive a medallion engraved with their name and the year of their induction, along with a £10,000 donation made by the Premier League to a charity of their choice.
The Premier League has released a video to celebrate the career of Cole and mark his induction into the Hall of Fame. This is available to watch as part of the dedicated Hall of Fame archive here.
