Things are really going to start happening in Brisbane, gambling wise. The Star Entertainment Group has reached an agreement with the local Queensland government. Discussions and negotiations had gone back and forth. At the core of the discussion is a proposed “integrated casino resort” that is slated to be located at the Queen’s Wharf precinct. The precinct is, of course, located in Brisbane.
The government is surely thrilled to have approved the deal since the local municipality stands to earn a great deal. Star Entertainment Group has to pay the government $272 million (Australian) in fees to be approved. This is only the beginning of the money stream generated to the locality. The Star Entertainment Group stands to pay gaming taxes of upwards of $880 million (Australian) over the course of a decade.
On the surface, this would sound as if the organization would have a hard time making money with this $3 billion deal. The fees and taxes are not exactly low in terms of their amounts, but they are an investment of sorts that sets the stage for big money generation. In other words, the company has the potential to make huge profits if the casino turns out to be successful. In all honesty, there does not seem to be any reasons why the casino won’t do well. Barring bad management and unexpected tourism woes, the project should prove successful.
There is also a clause in the contract the group has negotiated with the Queensland government. A 25-year exclusivity period is being granted that keeps any and all other casino resorts out of a 60km distance from the Brisbane Central Business District.
Without competition from another huge brick-and-mortar casino turning up on the horizon, the Star Entertainment Group probably should have free reign to tap into the large customer base in the region. Granted, competition is going to exist from online gambling but this is to be expected.
The project is not going to launch until some time in 2017, which is when construction on the resort is slated to start. The eventual completion date of the casino is 2022. That might seem like a long time off, but the project is a vast one. Do to the breath and scope of the project, the casino is going to take four year and 2,000 temporary workers to be built.
Once completed, the casino is going to be home to over 2,500 slot machines. This should make the time and money investment well worth it. Slot machines are wildly popular and profitable. Both foreign tourism and local employment should both end up increasing tremendously. Overall, the project could prove to be a very successful gaming endeavor.