HOUSTON -- Investors behind a proposed racing track that can host both Indy Racing League and NASCAR events say their facility has overcome major hurdles and could be open for business by 2005.

Tom Floyd, chairman of Star State Investments, which has pumped $10 million into the project, said the project got a boost when the city of Alvin annexed the property devoted to the super speedway, Houston television station KRIV reported Tuesday.

"That's significant because it allows us to create a tax opportunity for our investment and our investors in getting money back for the public utilities developed, like roads, sewage and things like that,'' Floyd said.

The track will sit on 2,800 acres southeast of Houston near Alvin. About 1,300 acres and nearly $100 million will be devoted to completing the 1.2 mile oval track.

Construction is set to begin in two months. The goal is to have auto racing's sanctioning bodies test the track by 2004 and the facility open a year later.

John Griffin, IRL vice president of public relations, said the league would be interested in racing in Houston.

"We are interested in growing our schedule,'' Griffin told KRIV. "In general we want to see a completed facility and a business plan in place before we make any commitments.''

Houston resident and four-time Indy 500 winner A.J. Foyt said he is looking forward to the day the track opens.

"It's great to see (Star State Investments) doing what they are doing getting some big major races in my hometown,'' said Foyt, who owns cars that race in the IRL and NASCAR. "I definitely would like to be a part of it and I will be involved in it some way.''