Previous reports stated that the $37 million film was slated to begin production in New York City this summer, with "High School Musical" director Kenny Ortega as director. The musical's Tony-winning creator and original star, Lin-Manuel Miranda was set to repeat his work on screen, with a host of Latino stars portraying the numerous characters of the Washington Heights-set musical.

The project is not completely halted. Miranda is working to bring the film to another studio, according to a statement. Miranda said of the split with Universal, "We weren't able to make the film version of In The Heights together, but I'm looking forward to working with them in the near future. Moving forward, I'm excited to explore other options to make the In The Heights movie a reality."

Broadway In the Heights producers Kevin McCollum, Jeffrey Seller and Jill Furman Willis were also executive producers on the film. Marc Klein had been brought in to pen the screenplay for the film. Quiara Alegria Hudes earned a Tony nomination for the original book.

Miranda's upcoming screen projects also include co-starring with Jennifer Garner in "The Odd Life of Timothy Green" and a guest spot on ABC's "Modern Family."

In the Heights won four 2008 Tony Awards including Best Musical and recouped its $10 million investment in ten months. It concluded its three-year Broadway run in January. The musical garnered a 2008 Tony for Best Score (music and lyrics for Miranda), Andy Blankenbuehler won the 2008 Tony for Best Choreography, and Alex Lacamoire and Bill Sherman won the 2008 Tony Award for Best Orchestrations.