The Superbad actor is tipped to play Vince Vaughn's sidekick in the movie, according to The Hollywood Reporter.
Ben Stiller will play the lead role in the film, which focuses on a city hotshot who moves out to the suburbs and is forced to join the local neighbourhood watch association.
However, the group's mundane day-to-day existence becomes more eventful when they stumble across an alien plot to destroy the world.
Seth Rogen, Evan Goldberg and Jared Stern have written the script, with Night at the Museum's Shaun Levy and Date Night's Tom McNulty leading the production team.
Neighbourhood Watch is currently in pre-production and slated to arrive in US cinemas on July 27, 2012, with further international release dates yet to be confirmed.