If given the choice, would you buy a bad performing casino in Australia? You probably won’t, but Chris Morris decided to do that! He will be purchasing the Jupiters Townsville casino in January. His company, Colonial Leisure Group has agreed to pay $70 million for the deal. So, what does he plan to do with the purchase and how does he intend to make the deal a profitable one? Here is all you need to know about it.
Casino to get a facelift
Morris has a long-term plan in mind. He plans to renovate the casino and give it a complete makeover – all of which will cost him an additional amount of $20. However, with the kind of money he makes every year, he has nothing to worry. While giving an interview to The Australian Financial Review, he mentioned that the property can generate revenue, but has not been able to do so due to lack of funds. The casino belongs to Echo Entertainment Group, which has been trying to sell off the property since two years.
Morris told The Australian Financial Review that the casino is in a bad shape as everything about it apart from the gambling facilities, which also have been neglected. He said that it is located at one of the best spots in the area, but what drags the casino down is its outdated design. The waterfront casino is visited by approximately 2000 visitors every day, but their spending hardly goes beyond the gaming tables and poker machines as it does not have a lot to offer. Morris believes that a casino cannot continue making profits until it provides an overall great experience to its visitors. So even if the visitors take home some money, but are left disappointed on the food or accommodation front, they may not return.
It is not that Morris expects to start generating profit as soon as the casino is renovated. In fact, he is sure that he will not make any profit for almost four years. His focus will be on providing a better dining experience to his visitors, with the $20 million budget.