Federal Hotels
Federal Group is a privately owned family company which operates significant tourism, hospitality, retail, casino and gaming assets in Tasmania, and a national sensitive freight company. In the past the company has been known as both "Federal Hotels" or "Federal Hotels and Resorts". Federal Group is Tasmania’s largest private sector employer with employees located across the entire state.
The Federal Group is owned and operated by the Farrell Family, consisting of Greg Farrell (managing director), John Farrell (director of business development), Julia Farrell (director of interior design), Deborah Lee (née Farrell; board member) and Jane Farrell (board member).
Federal is the oldest continually operating hotel group in Australia. Its origins can be traced to Melbourne in the 1880s.
In June 1885 a company named The Federal Coffee Palace Company Limited built an elegant temperance establishment (‘Coffee Palace’) to coincide with the 1888 Centennial Exhibition. Seven-stories high, it was the tallest building in Melbourne. It had 450 bedrooms and the largest dining room in Australia.
During the Depression of the late 1880s and early 1890s, the Coffee Palace lost significant amounts of money. This prompted its directors to obtain a liquor license in order to attract more profitable clientele. The original coffee palace was renamed the Hotel Federal and it went on to become the cornerstone of what is now Federal Group.
Over the next few decades Federal operated some of Australia’s finest hotels, including: The Menzies, Savoy Plaza, The Windsor, Hotel Australia, Lennons Hotel’s in Queensland and Hampton Court in New South Wales.
In 1956, Federal bought its first Tasmanian business – the Wrest Point Riviera Hotel in Sandy Bay, Tasmania.
During the late 1960s Federal initiated discussions with the Tasmanian Government about granting the Wrest Point Riviera Hotel Australia's first casino license. The casino was initially conceived to address the seasonal nature of Tasmania’s tourism industry, designed to be an attraction that would entice visitors to the state all year round.
In a referendum held on 14 December 1968, Tasmanian voters were asked the following question: “Are you in favour of the granting of a casino licence to Wrest Point Hotel conditional on the proposed development of that hotel?”
By a slim 6% majority, the establishment of a casino in Hobart was accepted and the Wrest Point Casino License and Development Act of 1968 was passed.
On 10 February 1973 Australia’s first legal casino opened with great spectacle. The event featured the largest fireworks display ever seen in the country, and was televised through the Channel 7 network. American entertainer Jerry Lewis was the main guest artist.
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