The 35-year-old former Mamelodi Sundowns and SuperSport United left-back joins the club from Siwelele, where he only made two starts in 10 appearances last season.
Hope came on to the scene last term and won the ABC Motsepe League at the first attempt under experienced First Division coach Dylon Deane.
Hope have since hired Clayton Daniels to lead the team this season and Lakay joins a number of experienced top-flight players including Samkelo Zwane, Miguel Timm and Bontle Molefe.
A club statement read: "Welcome home, Lyle. Cape Town boy back in the Mother City.
"We're excited to welcome the highly experienced Lyle Lakay to Hope FC.
"A decorated player in South African football and a former PSL Defender of the Season, Lyle brings invaluable experience, leadership and quality to The Immortals.
"We can't wait to see him in the black and red.
“Welcome to Hope FC, Lyle.”
