For years, Echo Entertainment has wanted to offload Jupiters Casino in Townsville. The property went on the market in 2012, and the casino operator has finally found a suitable new owner for the casino, as the Colonial Leisure Group has paid $70 million for it. Echo Entertainment is one of the most successful casino operators in Australia and New Zealand.
The operator did not choose to sell Jupiters Casino in Townsville because it was not profitable; rather, Echo Entertainment did not see much room for expansion for that particular property. As such, the company sold it in order to focus its time and effort on Sydney’s Star Casino and Brisbane’s Treasury Casino – both of which provide ample opportunity for growth as integrated casino resorts.
"Recent performance of Jupiters Townsville has been positive," says John Redmond, head of Echo Entertainment. "However, given the scale of operations and the size of the local market, we saw more limited expansion opportunities, and therefore strategic fit, with the group's other assets." Townsville Casino will now run under the operation of Colonial Leisure Group, which owns 15 hotels across Australia.
The company also owns a brewery and several other types of property across the country. Originally, Lasseters and SkyCity had expressed interest in bidding on the property, but it seems that the two casino operators dropped out of the running. Now, Echo Entertainment will focus on Jupiters Gold Coast Casino and Treasury Brisbane.
The company announced that it would spend upwards of $1.5 billion to redevelop the two properties as high-class venues that will attract international clientele. There is no word yet on the type of plans that Colonial Leisure Group has for Jupiters Casino in Townsville. Since the property was profitable before it was social, the casino may continue to run as is under its new owners.
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