Developer Frogwares has announced the release of The Sinking City 2, scheduled for August 18, 2026, on PC, PlayStation 5, and Xbox Series X/S. Built on Unreal Engine 5, the sequel takes the franchise in a new direction: instead of the detective structure of the 2019 original, the game now becomes a full-fledged survival horror set in a flooded Arkham of the 1920s, inspired by the works of Lovecraft.

The new protagonist is Kelvin Rafferty, who finds himself trapped in the submerged city. He replaces the previous main character, private detective Charles Reed. According to the story, after a failed dream ritual, Kelvin’s companion, Faye, ends up in a supernatural coma.

Players will explore the flooded streets and ruined mansions of Arkham in an effort to lift the curse. Gameplay focuses on inventory management, limited ammunition, and defensive combat against mutated creatures known as Slithers. While puzzle-solving and clue-finding elements remain, deduction mechanics now take a back seat to real-time action, resource management, and searching for shortcuts.

The project was developed amid the ongoing war in Ukraine. To fund the game and expand monster designs, as well as to ensure financial flexibility, the team launched a Kickstarter campaign in March 2025. The €100,000 goal was reached in just two hours, with over €394,000 ultimately raised from more than 4,100 backers. These funds allowed the addition of new major enemies to the final version, such as the Smasher and the Shoggoth.

Early previews highlight the combat system, reminiscent of Resident Evil, and the atmosphere created with Unreal Engine 5. The visual overhaul and smoother character animations have also received positive feedback. Navigation through mansions and combat are compared to Resident Evil and Silent Hill, while investigative mechanics have been simplified compared to previous Frogwares games. Nevertheless, the atmospheric horror and monster design make for a memorable gameplay experience.