The Glee star will release The Land of Stories via publishing house Little Brown Books for Young Readers in summer 2012.
"When I was 10 years old, I promised myself that if I ever had the opportunity to write this book, I would jump at the chance," Colfer said in a statement following the announcement.
"This book has been at the core of my imagination for a long time and I'm excited and nervous to share it."
Colfer recently secured a development deal with the Disney Channel for his series The Little Leftover Witch, based on a children's book by Florence Laughlin.
He was recently honoured by Time Magazine as one of the publication's most influential people in the world, though he later said that he felt he did not deserve the prize.