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Disney is developing “The Nutcracker and the Four Realms,” with Lasse Hallstrom set to direct, continuing its model of developing classic fairy tales.

The project is based on “The Nutcracker and the Mouse King” by E.T.A. Hoffmann, with Ashleigh Powell onboard to write the script.

The story, which has been adapted into a wildly popular ballet, follows young Clara, who receives a nutcracker doll from her godfather on Christmas Eve. When the girl goes to check on it later that night, the clock strikes 12 and she finds herself thrust into a fantastical world in which a war rages between gingerbread soldiers and an army of mice.

Mark Gordon is producing with Lindy Goldstein exec producing. Sam Dickerman and Allison Erlikhman are overseeing the project for Disney, with Sara Smith overseeing for the Mark Gordon Company.

Powell is currently developing the New York Times best-selling sci-fi book “The Traveler” at Syfy.

Hallstrom last directed “The Hundred-Foot Journey” and will next tackle DreamWorks drama “A Dog’s Purpose” with Britt Robertson and Dennis Quaid.

Hallstrom is repped by UTA. Powell is repped by Gersh and Benderspink.