Panic at Disney hotel lagoon as alligator snatches a toddler Tuesday night, search continues.

Panic engulfs Walt Disney hotel near Orlando as an alligator snatched a 2-year-old boy Tuesday night in a lagoon as his father desperately tried to save him.

A frantic search continued overnight and into Wednesday morning, but there was no sign of the child..

By mid morning, Disney announced it had closed all beaches in its resort area "out of an abundance of caution" following the attack near the Grand Floridian hotel.

The child was on the edge of the lagoon when the alligator dragged him into the water, according to the boy's family, said Florida Fish and Wildlife Conservation Commission Executive Directorate.

The family of four  the boy, his parents and his 4-year-old sister was on vacation from Nebraska.They arrived Sunday.

The parents watched as the alligator attacked the toddler at the Seven Seas Lagoon. The lagoon is connected to a series of canals that feed into large bodies of water.

"The father actually went into the water to wrestle his son from the grips of the alligator," he said. The father suffered minor scratches on his hand but was unsuccessful in getting his son back.

The mother also went into the water, trying to find her child, he said.