Lionhead says it has a team of eight working on new non-Fable-related projects, and we may see their work as early as next year.
Studio head John Needham told Eurogamer that the team is "trying to build the next big IP" for Lionhead.
The team, led by creative director Gary Carr, is working on several prototypes for non-Fable related projects as well as a few games which can be introduced to Fable Legends.
"The primary purpose of the group is to come up with new game IP, and we'll hopefully this [time] next year have something exciting to talk about," Needham said.
The studio is best known for the Fable franchise, though it has also created several other games including Black & White 1 and 2 and The Movies.
"There is great IP in Lionhead's history, it's just spotty who owns what," Needham noted. "Fable, clearly we're going to be investing most of the studio's efforts into that, but we'll have some new IP to share with you soon."
Needham took control of Lionhead in April 2013. He said one of his primary goals is to foster "a very transparent, open, active dialogue with our community" about all of the studio's upcoming games.
A Fable Legends multiplayer beta is set to begin in autumn.