The game was officially confirmed on July 13th, 2008. Work started in December 2007 and has continued off and on ever since. The game starts off right where the original ended with the destruction of Castle Hasslevania and the escape of Count Dracula, Rovert, and Chris Subdevil. Not much else is known yet, but the game is going to be a platformer like its predecessor was. The game features an RPG system and Chris is going to play a much bigger role this time around, but not how you might expect.
In May 2009, the Hasslevania 2 homepage went live. All further game updates will be found there. The game will attempt to dwarf the original in size and scope using outer space as a main theme. Plans are for a 2010 or 2011 release date.
On August 12th, 2009 a project page (devlog) was created for the game on The Daily Click website. This devlog included screenshots which weren't made public up until then.