The project, first unveiled in 2012, will be a co-production between Scorsese's Sikelia Productions and Zuma Productions.
"Silver Ghost" is set at the turn of the 20th Century, and traces the story of Charles Rolls and Henry Royce founding the iconic British motor company, reported Variety.
Kapadia is nominated with James Gay-Rees for an Academy Award for best documentary for the Amy Winehouse biopic "Amy".
His 2010 doc "Senna", on Brazilian Formula One racing driver Ayrton Senna won, the BAFTA award for top documentary.
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Scorsese is currently in post-production on "Silence", starring Liam Neeson, Adam Driver and Andrew Garfield. The movie follows Jesuit priests in 17th Century Japan. He's also producing the upcoming HBO series "Vinyl".
"I've been captivated by the story of 'Silver Ghost' ever since Richard Attenborough came to me with the project, and I'm thrilled that we're going to be seeing it through," he said.