Stewart, 22, will play Peyton Loftis in the adaptation of William Styron's 1951 novel of the same name that tells the story of a girl whose mother is jealous of her and father has harbours incestuous feelings towards her, reported MTV.
"Crazy Heart" director Scott Cooper will helm the project with Jeff Sharp as producer.
Lawrence was initially up for the coveted part but could not commit in the end due to her busy schedule filming sequels to "The Hunger Games" and "X-Men: First Class."
It is unknown when "Lie Down in Darkness" is expected to begin production.
Stewart is currently in the eye of the storm after it was revealed that she cheated on boyfriend Robert Pattinson with Rupert Sanders, the married director of her last project 'Snow White and the Huntsman'.