The 28 year-old keeper joins Depor in a free transfer after being cut loose by Sevilla this week.
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Alvaro has penned a deal to 2027 with the Segunda Division outfit.
He is reunited at Depor with coach Antonio Hidalgo, with the pair working together at Huesca.
Spain international Alvaro had penned a new two-year deal with Sevilla only this past summer.
Meanwhile, after his release by Villarreal, Adria Altimira has also signed with Deportivo.
The fullback has penned a deal with Depor to 2028.