realestate

Sonoma developer's empire built on alleged decades-long scheme, prosecutors claim

Mattson's Sonoma real estate empire built on alleged long-term scam, prosecutors claim

M
onths after the deal went sour, Hayes drove to Sonoma and pulled up property records at City Hall. What he found shocked him: 230 E. Napa St. was still in Mattson's name, despite Hayes' $625,000 investment. "He never put me back on the deed," Hayes said. "I gifted him that money for nothing."

    Hayes noted that one of Mattson's sons was living in the house, but he didn't confront Mattson about it at the time. He was too focused on getting his deed back. A class-action complaint filed against LeFever Mattson and related entities last October makes similar allegations about the "deed on, deed off" switch.

    The federal indictment unsealed Thursday doesn't mention this tactic, but it does detail other irregularities. Mattson convinced people they were buying stakes in specific properties, producing fake paperwork to support his claims. He then filed fraudulent tax forms, doubling down on the scam. This all happened during a surge in Sonoma real estate acquisitions.

    Gorin remembers meeting Ken Mattson in 2015, when he purchased two houses at the intersection of Moon Mountain Road and Sonoma Highway. Mattson held a community open house to answer neighbors' questions, and Gorin was initially enthusiastic about his plans. However, things didn't move forward as promised, and the properties remain unfinished.

    Other Sonoma-area properties owned by LeFever Mattson or related entities are also unoccupied, including the former Dirty Girl doughnut shop and Ravenswood winery. Cornerstone Sonoma is a shell of its former self, with only two or three remaining businesses. "The fact that so many are lying fallow or vacant discourages investors from investing in our community," Gorin said.

    As Mattson's profile grew, he spawned fractures in the community. When Gorin announced her support for a public-private partnership with Mattson in The Springs Plaza project, it didn't go over well with local activists. They had discovered that Mattson's business partner, Tim LeFever, was affiliated with right-wing organizations and foundations, and they accused Gorin of having a "backdoor meeting" with Mattson.

Sonoma developer's alleged decades-long scheme exposed by prosecutors in California court.