Knowing how children become oriented to imaginary play can help educators in centres better support development. But how this begins in the first years of life is not well understood. How toddlers transform through their imagination concrete objects (such as play accessories, figurines, and books) to become props in play (placeholders and pivots) for conveying meaning, remains low. Drawing upon cultural-historical theory, the study reported in this paper sought to understand the role of props for supporting the development of imagination during toddlerhood. Four toddlers aged 1.9-2.1 years from an early childhood centre in Australia were followed as they used objects as props during imaginary play. The study design was an educational experiment of a Conceptual Play World (CPW): a collective model of practice for developing play and imagination. Digital data of the CPW being implemented in the toddler room were collected through video recordings over two months. Thirteen hours of data were collected and analysed using the Vygotskian concepts of play and imagination. The findings revealed that through differentiated use of props, toddlers made transitions from the embodiment of the experience to sharing an intellectual and abstract space where objects became props in play, suggesting the genesis and development of early forms of imagination. The outcomes of the study advance theory and inform practice about the early development of imagination in toddlerhood.