STACKING THE DEC

Takeover bid puts up $80m for new hotel, restaurants and more concerts

THE consortium behind the push to buy the Derwent Entertainment Centre says it will in- vest $80-$90 million in a sports and entertainment precinct without any guarantee of a National Basketball League licence.

Consortium spokesman and Hobart Chargers president David Bartlett, right, made the commitment after the Glenorchy City Council voted to off- load the loss-making DEC. Mr Bartlett would not disclose the amount offered for the venue by the consortium.

THE consortium behind the push to buy the Derwent Entertainment Centre will invest between $80 and $90 million in a sports and entertainment precinct without any guarantee of a National Basketball League licence.

Consortium spokesman, Hobart Chargers president and former Tasmanian premier David Bartlett made the commitment yesterday after the Glenorchy City Council voted unanimously to offload the DEC.

Mr Bartlett would not disclose the exact amount offered for the DEC by the consortium. The consortium is backed by Hydraplay, which is led by former Tassie basketballer and entrepreneur Justin Hickey.

The DEC, owned and operated by the council, has become a burden on ratepayers, suffering a $1,094,000 operation loss for 2016-17.

The proposal will include a $3-$4 million upgrade of the DEC, the building of a hotel and cafes to create a sports and entertainment precinct and the largest investment in Glenorchy since Mona.

“The NBL licence is a risk, we have to present a case to the NBL, there are no guarantees there,” Mr Bartlett said.

“But the consortium is moving forward with this without making it a criteria or condition of doing the transaction with the Glenorchy City Council.

“That transaction we hope will happen in the coming weeks where the transaction to get an NBL franchise licence is six months, 12 months away.

“That is just the way the timing is going to work.

“That is a commercial risk, no doubt about it, for the consortium, but it is a commercial risk they are prepared to take.”

The consortium hopes to massively increase the number of concerts and other enter- tainment attractions at the venue as well as host a Tasmanian NBL team.

The DEC is open to rival bids.

The consortium’s bid contains clauses to allow the venue to still be used by the community.

“The consortium is absolutely willing to pay fair value for the asset but I want to make it clear too that the consortium is very, very mindful of the community and its needs,” Mr Bartlett said.

“In our proposal we’ve included community rights for things like dance eisteddfods and so on in perpetuity. We want this to work for the Glenorchy community and the wider southern Tasmania community.”

If successful with the council and the NBL, the venture would be the only franchise to own its venue — a significant advantage when it comes to scheduling and ticketing.

There will be a four-week public consultation period ahead of a final sale.