Lost Horizon is set in a small East Coast fishing village and will deal with themes of obsession, Deadline reports.
John Glenn (Eagle Eye) will script the pilot episode, with Shyamalan attached to direct. Both men will also serve as executive producers on the drama, which is in the works at NBC.
Shyamalan - also known for such films as 2000's Unbreakable and 2004's The Village - is also developing another television project, Syfy's Proof, with Buffy the Vampire Slayer's Marti Noxon.
His next movie release will be futuristic drama After Earth starring Will Smith and his son Jaden, which is currently slated for a 2013 release.
Other drama pilots in the works at NBC include The Munsters revamp Mockingbird Lane, an adaptation of Nick Hornby novel About A Boy and a crime drama based on the life of famed inventor Thomas Edison.
> Jaden Smith posts first look image from After Earth
> Group aims to send Shyamalan to film school