A community with "higher-than-average levels of problem gambling" in Adelaide will be negatively affected by a proposed gaming venue with 40 poker machines, a hearing is told.

The South Australian Jockey Club (SAJC) wants to build a $10-million restaurant and gaming venue at St Clair to replace one that closed nearby at the old Cheltenham Racecourse.

But it will need to be granted a Social Effect Certificate by the SA Liquor and Gambling Commissioner to ensure the machines are in step with public interest and issues of problem gambling.

Mark Henley from Uniting Communities said the new venue was in an area where "there's already high levels of problem gambling, higher than the state average".

"We know there's really good evidence to show there's an increase of crime when gambling moves into a venue, so that's something we don't think the SAJC has adequately considered," he said.

"We want to make sure the social effects test really works."

The SAJC has outlined eight reasons it believes the venue will be positive for the community, including providing dozens of new jobs and a cheap and family-friendly facility for the neighbourhood.

It said more face-to-face time between staff and gamblers would help people with gambling problems and argued an "attractive and pleasant" venue would bring the issue of gambling into the open.

Its lawyer, John Firth, pointed out that the SAJC was simply trying to relocate the poker machines a few hundred metres from its old venue at the racecourse.

"The move is for the overall benefit of the local community," he said.

The hearing was told there were no other gaming venues within walking distance of the new development at St Clair.

Mr Firth referred to the Club Safe program run by Clubs SA to stamp out problem gambling.

"Re-introducing machines will not have much, if any, impact on problem gambling in the community," he said.

Proposal to 'test' Social Effect Certificate laws

Other opponents to the poker machines include the Cheltenham Park Residents Association, Communities Against Pokies and Independent Senator Nick Xenophon.

"After 21 years of poker machines in this state, we finally have a test case that is looking at the social effects of poker machines," Senator Xenophon said.

"It's the first time that these laws will actually be tested for one particular development and I think it will have huge implications, whatever the decision is, in terms of poker machine policy in this state."

Sharon Hollamby from Communities Against Pokies did not believe problem gamblers would find proper assistance at a gaming venue.

"I've been in places where people are gambling, and they're in a desperate situation and they're crying, and nothing is said to them," Ms Hollamby said.

SAJC chief executive Brenton Wilkinson said residents of St Clair deserved a local watering hole.

He said he did not believe the venue could be built without gaming machines.

It is expected the hearing at the Liquor and Gambling Commission will take about two weeks before a decision is reached.