The Museum of Old and New Art (MONA) in Hobart, Tasmania, Australia has wanted to build a casino as part of its 0 million expansion plans, but its owner David Walsh last week withdrew his application for a casino license unless he can be considered outside of the monopoly of the Federal Group.
The Federal Group has exclusive rights to operate poker and gaming machines in Tasmania until 2023. The government of Tasmania has been talking with the Federal Group about extending the life of its poker machine monopoly as a carrot to offer it for allowing Walsh to break the monopoly before its expires.
However, Walsh said he didn’t want to build his casino until after 2023, although he will construct the buildings for the “Monaco” casino.
The Federal Group says it wants to extend its monopoly because it plans to invest $100 million in its Wrest Point and Country Club casinos.
According to Federal Group CEO Greg Farrell, “During 2014, the Federal Group approached the Tasmanian government with plans to make these significant investments to support the ongoing growth of Tasmanian tourism and hospitality. These plans require certainty.”
Farrell added, “At about this time David Walsh publicly stated that he wanted a casino at MONA to develop a sustainable business model. The Tasmanian government asked whether we could consider a proposal that allowed for a casino at MONA. The only condition that David Walsh expressed at the time was that there would be no additional gaming machines in Tasmania, something we were prepared to be supportive of.”
Tasmanian Treasurer Peter Gutwein said the government doesn’t want to be rushed as it contemplates the future of gaming on the island.
“With the MONA casino proposal being withdrawn, the Government will now, responsibly and sensibly, take its time to consider its options regarding the long-term licensing of casinos, EGMs (electronic gaming machines) and Keno in Tasmania,” he said.
