Being made by STX Entertainment and the Jim Henson Company, The Happytime Murders will reportedly combine live-action with the puppetry made famous by the Henson family.

The project, which is expected to get an R-rating, will be directed and produced by Brian Henson - son of the late Jim Henson.

Deadline reports that Django Unchained star Foxx is in negotiations to join the cast, and is expected to take on the role of LAPD Detective Edwards, who must re-team with his old (puppet) partner Phil to solve a series of murders.

Together, the mismatched pair set out to solve who conducted the grisly deeds involving the former stars of children’s TV series The Happytime Gang, all of whom led scandalous lives contradicting their squeaky-clean fictional personas.

"As the killings continue, Phil's former flame, Jenny, is next on the list. It's up to Phil and his ex-partner, Detective Edwards, to find the culprit, but as bad blood and old resentments resurface the clues start pointing to the only viable suspect, Phil himself," the official synopsis reads.

Described as Avenue Q meets L.A. Confidential, The Happytime Murders also harks back to noir-inspired film Who Framed Roger Rabbit? which also featured both human and non-human characters.

Henson, who has previously said that the film will "take puppets to a place where we have never gone before on the big screen," is directing from a script by Todd Berger, Dee Robertson and Red 2 writers Erich and Jon Hoeber.

Foxx, 48, who took home an Academy Award for his work in 2004's Ray, last starred in 2014’s Annie remake. He has several high profile films lined up, including drama thriller Sleepless Night, an appearance in Edgar Wright’s Baby Driver as well as a role in Robin Hood: Origins.