According to industry paper Automotive News, the new model - known internally by the codename 'RK' - is now well into final planning stages.
Insiders at Hyundai have reportedly confirmed a rear-wheel-drive layout for the new model, and a more sports-focused approach than the larger Genesis.
While smaller than the current and next full-size Genesis sedan, It's believed the new model will be slightly larger than the 3 Series, giving Hyundai a marketing edge in selling the car's interior space.
We can only speculate on which engines will power the new model, although the 205kW 2.0 litre turbo four offered with the Genesis Coupe would seem a likely option.
The coupe's eight-speed automatic transmission would also be a likely starter with the new sedan, although the company's expected 10-speed auto might also appear in the new model.
As for the new Genesis sedan and Genesis Coupe, new-generation models are expected to roll out over the coming year.
The Coupe has not yet been spied in testing, although Hyundai promises its HND-9 Sports concept, revealed in March, offers an idea of what we can expect.
Importantly, the new Coupe has also been confirmed for an Australian debut.