New York, I Love You is produced by Emmanuel Benbihy and Marina Grasic and is currently in its fourth week of shooting in New York.
Confirmed cast include Kevin Bacon, Orlando Bloom, Julie Christie, James Caan, Hayden Christensen, Shia LaBeouf, Ethan Hawke and Chris Cooper.
Benbihy, the brainchild behind the Cities Of Love idea that spawned Paris Je T'Aime, is expected to take his idea to cities in Asia, South America and Africa next.
'The film, whose centerpiece is love and whose thematic heart is New York City, will attract enthusiastic partnerships and sponsors, and offers endless opportunities to creatively reach audiences,' Vivendi president Tom O'Malley said.
'Palm continues to pursue its vision in quality independent film and our relationship with Vivendi is an integral part of that process,' Palm's managing partner Jan Korbelin said.
The deal was negotiated for Vivendi by senior vice president of acquisitions. Vivendi plans a theatrical release with Palm in early 2009.