Action is pending in the High Court at Dunedin from a housing firm led by architect Gary Todd, following earlier legal argument.
The defendants in the civil case are Harness Racing New Zealand (HRNZ) and the Forbury Park Trotting Club.
Mr Todd, director of Seed Housing Ltd, the plaintiff, has long been linked with development plans for the St Kilda site, but the planned sale of the former trotting venue has been complicated, partly as a result of national legislation.
"Seed Housing remains committed to the development and is passionate about the project and the opportunity to provide affordable and adaptable housing for the South Dunedin community," Mr Todd said yesterday.
It is two years since Forbury Park became surplus to the racing industry’s requirements.
HRNZ and the trotting club have since been negotiating over a planned sale of the 12.2ha property and how sale proceeds might be used.
HRNZ corporate services manager Liz Bishop said the process had not been straightforward, "but we are confident that ultimately the land will be sold".
"It is fair to say that progress has been slower than we expected, or wanted," she said.
She was unable to go into detail, but confirmed there were still "legal issues to sort out before the sale can go ahead".
"The issue of a caveat on some of the land has been to court this year and we are still working through the outcome of this hearing, which is commercially sensitive."
Ms Bishop said it was hard to predict when a sale would be achieved.
Trotting club chairman Lex Williams hoped it would be resolved in the coming months.
The venue was established on reclaimed swamp in the 19th century and the Otago Jockey Club first raced there in 1871.
The most recent valuation of the property was $14.8 million.
Trotting club financial statements showed almost $197,000 had been spent on the sale process up to July last year and HRNZ had picked up the bill.
One matter that has been resolved is a portion of the land being transferred to the Crown to provide St Clair School with more space for playing fields.
The Ministry of Education last year moved to acquire about 0.5ha of the site.
A settlement was reached in June and the ministry would carry out survey and demolition work before the school took possession, possibly by the end of this year.
Taieri MP Ingrid Leary argued in 2021 stumbling blocks to the sale of the broader park needed to be overcome, saying a boost for South Dunedin’s infrastructure was sorely needed.
The park was promoted by Mr Todd at the time as a "catalyst site to unlock the stormwater infrastructure solution for South Dunedin".
Ms Leary said this week it was disappointing Forbury Park issues were taking so long to sort.
She had also pushed for the Dunedin City Council to embrace a bold vision for South Dunedin.
"I’ve nudged the council over this term of government to broker conversations with caucus colleagues that I believe are the beginning of a co-ordinated approach.
"I’m not confident any alternative government would continue building on this conjoined approach, given National has voted against almost all Labour’s climate change initiatives this term ... and its likely coalition partner, Act, seems to be in climate change denial."
