Newcastle Jockey Club could build their two-storey, 480-stables development in two stages after securing a "critical" condition in their state government approval this week.
The stables, which will cost upwards of $40 million, required NSW Department of Planning approval as a state significant project and that came on Thursday.
NJC chief Duane Dowell said the approval was "an important next step in our masterplan to create a world class racing and entertainment precinct". However, securing funding for the stables project at Newcastle Racecourse remains a challenge.
The NJC have long hoped to demolish their existing on-track stables at the Beaumont Street end of the Broadmeadow facility and build state-of-the-art replacements along the Chatham Street side, where the now defunct day stalls stand. The club has funded and built new day stalls off Lowe Street, near the existing stables.
Development opportunities on the current stables site could hold the key for the NJC, making the ability to build new stables in stages a win for the club. Dowell said it was a critical condition of the approval.
"We can split it into two stages and essentially replace what we have now - the 240 - and build that first, then do a second stage later on," Dowell said.
"That's a good bit of flexibility for us, to unlock that land down at Beaumont Street and get our trainers a new facility.
"That can then give us the provision to expand down the track."
He said other conditions, addressing aspects such as traffic movements and waste management, could be worked through.
"Essentially, when we get the funding for it, we can move forward," Dowell said.
"There are smaller contributions or commitments there from Newcastle Jockey Club and Racing NSW, but we are still looking for the balance of it.
"I've spoken with the racing minister, Kevin Anderson, who visited here a couple of weeks ago and had a look around. That was a really productive visit I thought. He said it wasn't in the current budget, which we knew, but he said don't give up on it, it will be revisited about future budgets."
** On Friday, Scone trainer Cameron Crockett's Commando Hunt was among the first to secure a place in the $2 million Kosciuszko following the ticket draw for slots in the October 15 race.
The Burwood Inn syndicate from Merewether were among winners and they picked 2019 champion Handle The Truth.
Meanwhile, Kris Lees will resume Newcastle horse of the year Rustic Steel and Flag Of Honour at Rosehill on Saturday. Rustic Steel races in the group 2 Theo Marks Stakes, while Flag Of Honour is in the group 3 Ming Dynasty Quality.
Racing NSW reports: Kris Lees concedes he's throwing unbeaten three-year-old Flag Of Honour in the deep end at Rosehill on Saturday but is also confident the deep end is where he deserves to be.
The son of American Pharoah showed plenty of talent winning both starts in winter and Lees said he will confirm a Group 1 path if he does run up to his hopes in the Group 3 $200,000 Ming Dynasty Quality (1400m).
That's not to say Lees expects the gelding to simply make it three from three.
"He's had a little freshen but he's coming back straight into a strong pool of three-year-olds,'' Lees said.
"We need to see where he stands against these better horses. I think he will be competitive and I think we will see the best of him over further ground.
"We'll know where we stand after a few weekends."
Flag Of Honour put his ability on display as he graduated from a Newcastle maiden win to run down nine rivals on a heavy track over the Rosehill 1400m back on July 16.
He clocked easily the fastest last 600m of the race, running 34.81 (Punter's Intelligence), and his last 200m of 11.81 was in the top five for the meeting.
Jason Collett has the ride on Saturday and Lees said he will improve with the run but also hopes he can make a bit of use of a favourable barrier.
"He only had a soft trial and I was happy with him, he seems to be going the right way. He will be better for Saturday's run but he is in good order,'' he said.
"I don't think he has huge tactical speed but with an okay gate I think he can use it to a degree."
The Group 1 $2 million Spring Champion Stakes (2000m) is the dream for Flag Of Honour and he'll likely see a fair bit of many of his Ming Dynasty rivals who could also be on the road to that race.
"That's what we are thinking if he is up to that, he gives the impression he will run that type of trip,'' Lees said.
"It's when they stop improving when you find their ceiling but he seems to be going the right way and we'll take it a run at a time.
"He's going straight into a pretty strong grade, he certainly deserves to be there."
Stablemate Rustic Steel also has a $2 million spring target as he prepares to take his place in the inaugural Big Dance (1600m) on November 1.
The Scone Cup and The Coast winner is back after an autumn where he made plenty of progress up the ladder and Lees said he's come back from his break in great order.
Rustic Steel resumes in the Group 2 $250,000 Theo Marks Stakes (1300m) and he's drawn 11 in the 13 horse field, with Kerrin McEvoy to ride.
He finished third under 60kg in a 1200m benchmark race behind Maotai when kicking off his autumn.
"It's a tricky gate and he'll probably get back, whether it is favourable for horses to make ground we'll see,'' Lees said.
"I think he is in for a good preparation. He took some big steps later in his preparation so he's jumped a fair bit in rating which sees him start off in this style of race."
The five-year-old was a $13 chance with TAB on Thursday in the Theo Marks and is one of three $8 favourites for the Big Dance which will be his third or fourth run from a spell.
