Retailers Set To Gain Tremendously From Washington D.C.’s New Sports Betting Law
The DC Council’s decision to legalize sports betting in the district may have been the best thing to happen to Washington retailers. According to the newly-passed sports betting law, retailers, restaurants, bars and other commercial establishments will soon be allowed to apply for licenses to offer sports betting facility on their premises.
As per the new law, DC establishments need to pay $5000 for two-year sports betting licenses, as opposed to the $250,000 that casinos need to pay for five-year licenses. Additionally, retailers and other commercial establishments who have already become Lottery retailers (or set to become one soon), will be allowed access to the new DC Lottery mobile application, set to go live in a few days. The integration of both games is believed to be highly-lucrative for DC’s retailing industry.
According to a report filed by consulting company Spectrum Gaming Group, about 20 retail establishments are expected to get sports betting licenses by the end of 2021. In addition to retailers being allowed to offer betting services, the law will allow independent sportsbooks in the DC area to open their stand-alone outlets in retail stores. The report by Spectrum Gaming Group projects massive revenues, north of $2.3 million from retail store betting terminals and $5.75 million from independent sportsbook-sponsored betting facilities.
The law in question is currently a few weeks away from implementation. DC authorities are in discussions with gaming technology providers to find a suitable partner for their new retail venture. However, the support for the current DC Lottery partner, Intralot, is quite high, with many insiders of the belief that tried-and-tested technology may be best for DC.
Retail sports betting regulation is another area that is pending decision. Considering the differences in mode of operation, size of bets and clientele profile in retail outlets and casinos, DC authorities are in consideration of a new regulatory framework to control retail sports betting.
Meanwhile, retailers across Washington and casino operators across the country are waiting for the D-Day with bated breath. CEO of Virginia Beach-based August Holdings Corp, Shane August, is one such person. Like many other entrepreneurs, August wants to set up a stand-alone retail betting terminal in DC as soon as the law is in implementation.
In addition to August Holdings Corp, other casino operators, sportsbooks and sporting authorities like Monumental Sports, MGM Resorts, FanDuel, the NBA and DraftKings have all expressed their interest in getting involved with retailers to offer sports betting services in DC.