The mixed-use scheme will revitalise the centre originally built in the 1950s.
Work will now start on working up a detailed planning application for the phased redevelopment which follows extensive consultations with the local community.
The regeneration scheme will see 150 homes built, ranging from one-bedroom flats to three-bedroom houses.
There will also be a new shopping parade and improved access to the Jim McDonald Centre, a Council-owned community centre.
Stephen Norton, Lovell regional regeneration director, said the firm would deliver significant job and training opportunities through the regeneration scheme, including eight apprenticeships as well as construction-related skills courses for residents and work experience placements.
Lovell will also provide Welwyn Hatfield Borough Council with a £50,000 community grant for the local High View community.
A planning application for the development is expected to be submitted in 2018 with the overall construction programme set to be completed in 2022.