Palm Beach Gardens bans adult arcades, called fronts for gambling, money laundering

PALM BEACH GARDENS — Adult arcades are officially no longer allowed in Palm Beach Gardens.

The City Council voted unanimously July 13 to grant final approval to new rules that ban these businesses and “simulated gambling devices.”

The move comes about a year after a lengthy investigation led city police to shut down the Golden Nugget Arcade on Military Trail just north of Northlake Boulevard, which was the only adult arcade in the city.

The rules remained mostly the same from the council’s first vote on them June 1, with the exception of one provision for a fine that was incorrectly listed as $250, city attorney Max Lohman told council members. That fine was corrected to $1,000, he said.

Publix project: Grocer to replace Promenade Plaza store in Palm Beach Gardens with modern supermarket

Palm Beach Gardens police shut down the Golden Nugget Arcade on Military Trail in September 2022 after a yearlong investigation into illegal gambling.
Palm Beach Gardens police shut down the Golden Nugget Arcade on Military Trail in September 2022 after a yearlong investigation into illegal gambling.

City officials decided to move forward with a ban on adult arcades, also known as internet cafés, as Florida law-enforcement agencies have worked to conduct sweeping crackdowns on the venues, which state officials said are typically fronts for illegal gambling operations.

Lohman said the issue has been pervasive throughout the state.

“If you walk into one, it’s not the Fun Depot,” he told The Palm Beach Post in June, referring to the entertainment venue in Lake Worth Beach. “You’re not going to see stuffed animals and secret decoder rings that you’re going to win if you play a game.”

What differentiates adult arcades and internet cafés from more legitimate gaming establishments is the use of cash and gift cards as prizes, officials have said.

Avenir update: Palm Beach Gardens OKs neighborhood for older residents, dog parks, offices

Because their business is largely cash-based, adult arcades have a tendency to become a nuisance to neighbors, Lohman said.

“This is an epidemic,” Lohman told The Post. “It’s now kind of coming on everybody’s radar. … There are multiple municipalities all up and down the coast that are now starting to run operations to go after the establishments and shut them down.”

The ordinance went into effect immediately. Mayor Chelsea Reed was absent from the meeting.

This article originally appeared on Palm Beach Post: South Florida city bans adult arcades amid illegal gambling crackdown