The former Bray Wanderers and Sligo Rovers midfielder has opted to remain at Tallaght for another two seasons despite interest from other clubs
The 24-year-old previously had spells with Bray Wanderers and Sligo Rovers before signing for the Hoops in 2011 and he said that he was 'delighted' to have extended his contract.
"I’m delighted to have signed the new deal. I worked with (Shamrock Rovers manager) Trevor [Croly] before, under Michael O’Neill, so I know how good he is and I’m looking forward to working with him again," McCabe told shamrockrovers.ie.
He added: "It’s good to have the security of a two year contract, but it’s also a boost as it shows that Trevor has confidence in me to do well.
"I can’t wait to get back into the football next season and to put this year behind us. I think we’re going to have a good year in 2013."
Hoops boss Trevor Croly revealed that other clubs were monitoring the availability of the versatile forward and said that it was 'good' to have such an 'exciting player' at the club.
"It’s brilliant to have signed Gary up for another two years," he told the club's official website. "There were other clubs interested in him, but he was keen to stay on.
"He is an exciting player who can create and score goals, so he will continue to be a great asset to the team. He can also play in a number of positions; it is always good to have versatile players like that in your squad," concluded Croly.