[3] Milton Sanford expanded his breeding operation to the Bluegrass region of Kentucky with the acquisition of the 544-acre (2.20 km2) North Elkborn Stock Farm in Lexington which he renamed the Preakness Stud.
One of his stallions at stud in Kentucky was Virgil, who sired Kentucky Derby winners Hindoo, Ben Ali and Vagrant, plus Preakness Stakes winner, Vanguard, and the champion 2-year-old colt, Tremont.
In 1881, the sixty-eight-year-old Milton Sanford sold the Kentucky Preakness stud and its fifty-nine horses to Daniel Swigert who renamed it Elmendorf Farm.
A prominent businessman and a member of the Board of Stewards of The Jockey Club, he raced under the nom de course Preakness Stables.
Galway worked to improve the Stud's breeding operation that would produce the 1895 Preakness and Belmont Stakes winner, Belmar.