This demise is in most part due to a better equipped better located competition who also happen to have a better and bigger plan.
The demise started long before there was any local competitor. GA training in aero clubs around Australia has been in decline for some time and I suspect even the "puppy farms" are starting to see a slow down in numbers. The only clubs that seem to have much of a future are those who own their own property.
It will be interesting to see what happens in Hobart now with two start-up training providers, both with relatively deep pockets. Time for the comfy chairs and pop-corn me thinks.