The entrepreneur, who had two spells at Villa totalling 35 years and infamously became known as 'Deadly Doug' for his reputation for sacking managers, has invested heavily in community and charitable projects in the west midlands.
Cheshire-born Ellis, who stepped down as Villa chairman in 2006, said: "I'm delighted and humbled by the honour. I'm so humble I can't believe. Everyone calls me Doug so I guess I'll be called Sir Doug now."
He first took over the club in 1968 but left in 1979 before returning in 1982 and remaining in charge until the sale to Randy Lerner five years ago.
Ellis said: "I do miss it but I remain as president emeritus and as part of the deal I get my seats in the boardroom, seats in the directors' box and directors' box tickets for away matches.
"Randy Lerner is the owner of the Cleveland Browns and is committed there.
"He doesn't come too often and together with Paul Faulkner we look after his interests.
"I don't miss a game."
Source: PA
Source: PA