The 19-year-old Venezuelan midfielder will spend the 2017 MLS season with NYCFC having joined sister club Man City from Atletico Venezuela on January 31.
City head coach Patrick Vieira was delighted to land Venezuela U20 captain Herrera who he feels will have an enormous impact in North America's top flight.
"Although Yangel is just starting out on his career, we believe he will make an impact in Major League Soccer once he's settled into a new country and has adapted to our system of play," Vieira told NYCFC.com.
"He's a tactically intelligent midfielder who is strong in the tackle and reads the game well. Yangel also has good passing range and spatial awareness, which is crucial for a player in his position.
"I look forward to welcoming him to our squad after the South American Championships where he's been playing very well for Venezuela."
Herrera added: "I'm very happy to take this next step in my career. To have the opportunity to play with such a high caliber of players is very exciting and to join a team that has a good football philosophy is very important to me.
"I'm looking forward to playing under Patrick Vieira as he's someone who played my position and I know I'll be able to learn a lot from him. I want to absorb all the good things from Patrick and the other players."