The Quinte Racetrack and Slots will become reality, stakeholders say, even though not everyone agrees on how it will happen.

"We're picking ourselves up from a difficult year but we've got a great partner and a great project," Graham Simmonds, president and chief executive officer of Baymount Inc., told The Intelligencer Thursday evening.

Baymount and Plaza Gaming and Entertainment Corp. are now working on a transaction that Simmons said is critical to the QRS project and development of the neighbouring 55 acres.

Under the deal, Plaza will acquire a 75 per cent equity interest in the QRS for a gross investment of $6 million.

The deal was to be finalized by Sept. 30 but Wednesday's release said both companies have agreed to extend the closing date as due diligence continues.

Simmonds declined to provide a new closing date, saying only the diligence phase will be completed as soon as possible.

"It's all of the stakeholders' goal," he said. "It's a complex transaction; there's multiple stakeholders involved.

"We're working efficiently and effectively to get this done."

Baymount has also granted Labatt Brewing Co. Ltd. an exclusive 90-day window, expiring around the end of January, to review the possibility of creating a sponsorship and branding presence at the QRS and/or Baymount's adjoining 55 acres.

That "excess" land is to be developed into the Prince Edward Gateway, a family entertainment complex including a water park and hotel.

Noting Labatt's multi-brand status, Simmons said there are a variety of ways — from naming rights to event sponsorship — in which the brewer could become involved.

Baymount has announced the hiring of CB Richard Ellis, a Los Angeles-based commercial real estate firm, to develop a feasibility study for the Gateway development. Baymount still holds all interest in the 55 acres; the land is separate from the deal with Plaza.

Simmonds said "substantial progress" was made over the last month in the Gateway's designs, construction costs and budgeting.

Doug Rollins, president of the Belleville Agricultural Society, has long expressed frustration over delays in the QRS project and skepticism about Baymount's promises.

Reached Thursday during his Florida vacation, Rollins said he's sure the facility will be built but he doesn't necessarily believe it will happen as Baymount predicts.

"They've led us down the garden path how many times before, so is today's announcement any different? Probably not," said Rollins. "But I am satisfied that something's probably going to happen before too long. I think the thing is progressing. It's going to take place. It doesn't look as if it's going to open up before the spring of 2011 … but it will happen, either with them or without them."

Simmonds said the delays were frustrating for Baymount, too, but his company has had "great" meetings with the agricultural society.

"I don't really see a lot of issues there," he said. "In our minds we've done a pretty good job of surviving a very difficult downturn in the market.

"Baymount's invested a lot of money in this project. We came in very early in 2004. We wrote up a cheque to complete the servicing of that area in partnership with the city before we even owned the land.

"It proved to be very risky for us," said Simmonds. "Baymount has significant capital invested and at risk in this project."

Mayor Neil Ellis said he understands concerns and even anger about the development, but Baymount has made good on its promises to the city and given him no reason to disbelieve its latest news.

"With the downturn of the market and the economy, some of this stuff has been outside Baymount's control," Ellis said. "There haven't been any miscommunications between Baymount and the (mayor's) office at all."

He said he's met with officials from both Baymount and Plaza.

"As long as they can sort out the contract I can see it moving forward," he said.

Baymount had announced it would begin a unit offering of gross proceeds of up to $2 million but the release said that will no longer occur.

Simmonds said the Toronto Stock Exchange had, as a form of economic relief, allowed companies to raise capital below the usual minimum price of five cents. Baymount's plan was simply a case of reserving its right to make such an offering before the opportunity expired.

"It wasn't a financing that we marketed … it was just reserving the ability to do it with the regulators."