Shell will retain the freehold of the site with Canary Wharf Group and Qatari Diar holding a 999 year lease for the site, excluding the tower.
Shell will continue to occupy the tower and will lease 210,000 sq ft in a new building on the site which will be redeveloped to include shops, homes and offices.
"Today we have chosen world acclaimed developers that have an excellent track record in delivering on projects of this size and scale", said Graham van't Hoff, chairman of Shell UK.
"This is a great step forward and represents considerable reinvestment in the South Bank. Shell Centre is our long-term home in London and we're keen to start working with Canary Wharf Group, Qatari Diar and local stakeholders to develop and deliver a project that will benefit both London and the local community."
Shell will be relocating approximately 1,700 staff to Canary Wharf during the redevelopment. On completion of the Shell Centre development, all London based Shell staff will return to the South Bank.
"The South Bank is one of London's best loved places," says George Iacobescu CBE, chairman and chief executive of Canary Wharf Group.
"It is both a privilege and a great responsibility to be involved in this redevelopment project which will re-energise a key part of this area of London.
"We look forward to working with our partner Qatari Diar, the local community and with Shell to enhance the London economy and the vibrancy of the South Bank."
It is six years since Shell's previous deal with Lend Lease for the development of the prime South Bank site collapsed.
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