Land developer in Gilbert indicted on fraud charges; Clare House future remains unknown
GILBERT, Ariz. - The developer who was planning to tear down Gilbert's historic Clare House to make way for a Bottled Blonde has been indicted on federal fraud charges, court documents say.
The developer, Aaron Wagner, was arrested in Utah on federal fraud charges in October.
A felony criminal complaint alleges Aaron Wagner "devised and intended to devise a scheme to defraud private investors and lenders in restaurant businesses."
He owns property in several states, including Arizona, where he wanted to tear down the Clare House and build a Bottled Blonde.
"Good memories, you know. It's a historical spot," Shivaun Berlow, a downtown Gilbert visitor, said.
The Clare House, most recently known as Bergie's Coffee, is one of the oldest buildings in Gilbert.
Wagner gave HD South, which is where the Gilbert Historical Museum is, time to raise money to move the building, but they didn't reach their goal.
"We've been trying to raise $135,000 to move it to the Gilbert Historical Museum or HD South," Julia Taggart, Sunnyslope Historical Society President, said.
Wagner's plan was to build a Bottled Blonde where the historic home has sat since 1918.
"There's some controversy with building it there because if you go onto that road, a lot of it is mom-and-pop shops, family friendly, and then you have women in lingerie," Taggart said.
Those plans are changed now that Wagner was indicted on 16 wire fraud and money laundering charges.
Court documents claim Wagner defrauded investors of millions of dollars.
The documents state he lived a lavish lifestyle, funded in large part by stolen investment funds. This includes a $4 million second home in Scottsdale and an $8 million plane.
If he is convicted, he will have to forfeit proceeds from the sale of a commercial building in Scottsdale, and two out-of-state real estate properties.
"It's sad to see because now this property is in limbo. Even if he said, you can move it, we can't move it because I'm sure the FBI is going to seize it at some point," Taggart said.
For now, HD South doesn't know what the next steps are for the Clare House, but continue to raise money to move the historic building to the museum.
"That was the end goal. That's the whole goal of this, to have it be persevered. To have this educational tool. Not just Gilbert, but Arizona to know what it's like to live in Arizona in 1918," Taggart said.
Wagner told FOX 10 that he denies the allegations and looks forward to defending himself in court.
As for the future of Bottled Blonde in Gilbert, Evening Entertainment Group released a statement, saying, "Evening Entertainment Group and Bottled Blonde have withdrawn as the proposed tenant at the Gilbert development owned by Aaron Wagner, effective October 2024."
That doesn't mean it won't find a new home for the club.