Maitland District Leagues Club will undergo renovations worth more than $1 million.
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Club officials signed a five-year deal with Tabcorp Gaming Solutions on Friday, which will pull the club out of the financial doldrums.
TGS, a subsidiary of the gaming giant Tabcorp, has bought the club’s gaming floor and will install new
state-of-the-art machines as part of the deal.
In return, TGS will spend more than $1 million to refurbish the ailing club with a new bistro, coffee shop, children’s play area, bar and outdoor gaming room.
Site plans are likely to be finalised within weeks.
Club chairman Neil Martin said the board would retain complete control of the organisation under the terms of the contract.
“All the decisions are left up to the club board,” he said.
“We pay them [TGS] an amount per day, per [gaming] machine.
“They’ve got so many millions of dollars to spend to get into the NSW market.
“They see this as a club that can really go ahead.”
Mr Martin said club patrons clapped and cheered at the weekly raffles on Friday night when he announced that the deal had been signed.
“Everybody has been waiting to find out whether it was going to happen,” he said.
“It’s going to attract people back into the club.”
At the end of the five-year term, Mr Martin said, the club could either buy the gaming floor back from TGS or broker another contract.
He said the arrangement had come at a good time, given the club’s location in the redeveloped The Levee precinct.
“The main gateway to The Levee is right past the front of the leagues club,” Mr Martin said.
“We know there is a future [for the club]. People have said there’s not, but there is.”
Mr Martin wanted to thank the hard work of board members who helped to push the deal forward, particularly John Thomas and former chairman Paul Hunt.
TGS new business manager Jay Riddle said Maitland was the third NSW venue to sign with the gaming services business.
“TGS launched its NSW operation in late 2013 and our first two venues have seen great benefits,” he said. “We are confident we can work with Neil and the team to make Maitland District Leagues Club an important part of the community.”
The club had been linked to possible mergers with Parramatta Leagues Club and Maitland City Bowls Sports and Recreation Club last year, after the board called for expressions of interest for potential business partners.
But TGS approached the club with the deal in September and both parties have spent recent months finalising the contract.
The club recorded a $345,882 loss in 2013, a $57,864 profit in 2012, and a $137,577 loss in 2011, according to publicly available financial records.
