Will Smith is set to star in 'The City That Sailed'.

The 'Men in Black 3' actor and director Shawn Levy have signed up for the 20th Century Fox project, which tells the story of a father and daughter whose bond is tested when the island of Manhattan in New York breaks loose and sails across the Atlantic Ocean.

The cinematic blockbuster will be produced by Smith - who has long been rumoured for the film - and his producing partner James Lassiter through their Overbook Entertainment company.

Levy's previous directing credits include Hugh Jackman-starring robot movie, 'Real Steel' and Fox's comedy, 'Date Night', starring Tina Fey and Steve Carrell.

He is next set to helm 'Night at the Museum 3' with Ben Stiller, which will go into production early next year and hit cinemas in time for Christmas 2014.

Smith recently starred in box office flop 'After Earth' with his son Jaden Smith, and wrapped filming on new thriller 'Focus' - co-starring Margot Robbie - in the last couple of months.

The actor is being tipped to reprise his role as Captain Steven Hiller in a sequel to 'Independence Day', which was recently pushed back to a July 2016 release date - exactly 20 years after the original film came out.