Buy & sell an amusement arcade, gaming hall and gaming business

The Interstate Gambling Treaty and the implementing state laws require a minimum distance between amusement arcades, and often also from schools and youth facilities. Depending on the state, this distance ranges between 100 and 500 metres as the crow flies. On top of that comes the ban on combined concessions: several licences under one roof, common until 2017, are no longer permitted.

As a result, existing, permitted locations have become scarce, while units with no prospect of a permit can barely be used as an arcade at all. Anyone valuing an arcade property must therefore check the permit situation first, and only then talk about square metres and rent.

Running the business requires the trade permit under Section 33c, or the arcade permit under Section 33i of the Trade Regulation Act (Gewerbeordnung), plus the state's gambling-law permit. These permits are tied to the person and the business. A buyer of the property does not acquire them with it; they must go through their own procedure, including a reliability check, a social concept and proof of expertise.

Time limits are the rule here, not the exception. Before purchase it should therefore be established when the current permit expires, whether it rests on a hardship provision, and how the responsible authority assesses the prospects of renewal. An informal preliminary enquiry to the licensing authority costs nothing and prevents misjudgements.

Transferable are the property, fittings and lease. Gaming machines frequently belong to a separate operator and are only present in the hall under a placement agreement. This agreement should be read before any purchase decision, as it governs term, revenue split and notice periods.

Amusement arcades count as entertainment venues (Vergnügungsstätte). Many towns have their own bylaws restricting this use to certain areas or excluding it entirely. Even where a space is structurally suitable, a change of use can fail at this point. What matters is the development plan together with the local entertainment-venue bylaw.

Economically, the municipal entertainment tax (Vergnügungssteuer) is a factor that varies considerably from town to town and is generally assessed on the machines' net takings. A buyer taking over an existing business should check this cost just as carefully as rent and staffing costs. We do not make claims about earnings; verifiable documents belong in due diligence, not in marketing copy.

Searches include buy an amusement arcade, sell a gaming hall, take over a gaming business, or arcade property. The pool of interested parties consists of operator chains, placement companies and investors looking for a unit with a secured prospect of a permit.

We currently have no listed property in this category. Anyone wanting to sell receives an assessment of location, distance requirements and marketability from us, plus confidential approaches to suitable interested parties. Anyone searching lodges a profile with region, floor area and permit status and is informed as soon as a matching property comes to market.