It was well documented that Arsenal had an option to buy back the 25-year-old, whom they sold to Sociedad in 2012, fuelling rumours that Vela could return to the Emirates.
However all rumours have been quashed after the announcement of the strikers new deal.
Real Sociedad have reached an agreement with Arsenal
A club statement read: "Real Sociedad have reached an agreement with Arsenal FC which will allow Carlos Vela to continue at the club on a permanent basis.
"The player, meanwhile, has signed a contract extension which ties him to Real Sociedad for the next four seasons.
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"The player's previous contract was due to expire in June 2016. The Mexican striker has now formally signed his new contract."
Vela scored 21 goals last season for Sociedad, who finished seventh in the La Liga.
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