Reports suggested that the 'Scream star' was in negotiations to buy the Crazy Girls venue near Sunset Boulevard.
However, in an appearance on a late night talk show 'Watch What Happens Live', Arquette clarified the rumours, saying, "No, no, not yet. I wanna do a burlesque thing. But I don't know who leaked that stuff... In Hollywood... Everybody talks and then they get everything wrong."
Arquette, 42, previously branched out in the entertainment industry as a partner in Beacher's Madhouse, a vaudeville-inspired nightspot in the city run by comedian Jeff Beacher, and he also co-owns nightclub Bootsy Bellows.
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