Cook beets in large saucepan of boiling water until tender, 20 to 40 minutes (depending on size and age of beets). Rinse under cold water until cool enough to handle; drain well. Slip off and discard skins. Cut beets into 1/4-inch slices; place in large heatproof bowl.
Heat 2-1/2 cups water, vinegar, sugar, horseradish, and salt in medium noncorrosive saucepan to boiling; pour over beets. Cool to room temperature; refrigerate, covered, 1 to 2 days to mellow and blend flavors before serving.
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