Gaming machine operating authorities (hotels)

Tenders for gaming machine authorities (hotels) are currently closed.

If you are a commercial hotel licensee that has been granted a gaming machine licence, or approved to increase the number of gaming machines on your premises, you must obtain an 'operating authority' for each gaming machine you are approved to operate.

Because the number of gaming machines in Queensland is capped, operating authorities may only be obtained by participating in an authorised sale conducted by the Public Trustee of Queensland. Sales are conducted by competitive tender in each of the 3 authority regions (South East, Coastal and Western) and authorities are only able to be sold in the region from which they originated.

Sales (tenders) of gaming machine operating authorities

The sale of gaming machine operating authorities is essentially a tender auction, with bids made through the lodgement of a tender bid form provided to eligible purchasers at the commencement of the sale.

How to know when the tender is called

The Public Trustee places an advertisement in The Courier Mail announcing the commencement of a tender. The advertisement states the number of operating authorities available for sale in each region, the closing date and lodgment details.

The Office of Liquor and Gaming Regulation (OLGR) then contacts all eligible buyers when the new tender has been advertised. Sellers will also receive forms by registered mail.

If you intend to bid for entitlements, please contact OLGRlicensing@justice.qld.gov.au for the tender bid form, which must be placed in the tender box at the Public Trustee's office no later than that time and date specified on the tender advertisement and paperwork.

The Public Trustee will not accept any bids by email, post or fax. Bids cannot be accepted at any OLGR office.

The tender process

Only 1 tender bid form per eligible premises will be accepted, and you may not bid more than 1 amount per operating authority. If you are licensed to operate gaming machines at more than 1 premises, a separate tender bid form for each eligible premises will be required.

Tender documents must be lodged in the tender box at the office of the Public Trustee of Queensland. Note: OLGR cannot accept any tender documents.

Documents lodged without the lodgement fee (currently $55) or received after the closing time will be declared invalid. If you are lodging bids for more than 1 premises, a lodgement fee will be required for each.

Once the tender has closed, the Public Trustee will allocate each operating authority against valid tenders in order of highest to lowest bid. The Public Trustee will notify successful bidders of their allocation and require payment within 5 working days. Payment for each operating authority will be the amount bid on your tender form, an administration fee of $440 per operating authority, and stamp duty.

For more information about the sale of hotel operating authorities, read the Gaming guideline G06: Authorised sale of operating authorities (hotel).

How much to bid for an operating authority

How much you should bid for an operating authority is a matter for you and/or your accountant to determine.

The Public Trustee will set a minimum acceptable price for each region and any bids below the amount set will not be successful. The minimum acceptable price will not be disclosed.

Staff at OLGR and the Public Trustee's office are unable to assist you with how much to bid. However, details of the average price paid in previous tenders are available in the table below.

Operating authority tender results

The following table has information about recent sales, including average price, of gaming machine operating authorities. For earlier tender results please contact olgrinfo@justice.qld.gov.au.

SOUTH EAST

COASTAL

WESTERN

Tender

Closing date of sale

Offered

Sold

Avg. price

Offered

Sold

Avg. price

Offered

Sold

Avg. price

Contribution to CF

Tender 3814/03/201855$160,0853713$57,523291$41,001$476,766
Tender 37 15/11/2017 48 48 $137,155 59 31 $55,220 24 19 $43,098 $2,734,240
Tender 36 12/07/2017 29 29 $161,228 25 25 $55,752 29 16 $52,972 $2,075,092

Tender 35

22/03/2017

28

28

$162,499

53

53

$65,675

3

3

$65,510

$2,468,176

Tender 34

23/11/2016

37

37

$150,054

9

9

$72,510

0

0

-

$1,861,377

Tender 33

27/07/2016

20

20

$133,884

9

7

$69,457

1

1

$55,202

$965,726

Tender 32

09/03/2016

5

5

$120,746

24

24

$65,742

10

10

$52,553

$812,116

Tender 31

11/11/2015

0

0

-

54

54

$72,678

0

0

-

$1,177,380

Tender 30

05/08/2015

12

12

$87,058

12

12

$101,834

0

0

-

$680,013

Tender 29

08/04/2015

40

40

$122,475

20

20

$101,444

0

0

-

$2,078,367

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