Watch CBS News

Owner of Lutsen Resort charged with arson, insurance fraud after fire destroyed historic resort

The owner of the historic Lutsen Resort on Minnesota's North Shore has been charged with arson and insurance fraud more than a year after a fire destroyed the resort's lodge.

Authorities with the Minnesota Bureau of Criminal Apprehension and the State Fire Marshal said law enforcement had arrested 41-year-old Bryce Campbell, who owns Lutsen Resort. He was arrested in Southfield, Michigan, on Wednesday and is held in a local jail pending extradition to Minnesota.

The fire tore through the building shortly after midnight on Feb. 6, 2024. The lodge's night auditor called 911 to report smoke rising from the ground, and according to the complaint, told authorities that he tried to contact Campbell. He ultimately called Campbell's husband to tell him that the resort was on fire.

sequence-01-00-00-04-23-still001.jpg
Edward Vanegas

Court documents say the husband tried to call Campbell dozens of times, and eventually Campbell called him back at 3:14 a.m. In an interview with investigators, Campbell admitted that he stopped at the resort on the night of the fire, at around 11:45 p.m., to retrieve a bag from his office.

The criminal complaint says that Campbell purchased the resort in August 2018 for $6.75 million and entered a contract-for-deed with his other company to purchase Superior Shores Resort for $14.5 million in January 2020.

The court documents however detail financial woes: shortly before the fire, the resort owed roughly 80 entities nearly half a million dollars total, and owed $521,000 to Lutsen Resort's previous owners. Campbell's other company had a negative balance it its checking account, and his relationship with his bank was ending.

Insurance records also indicated that in August 2022, Campbell increased the policy from $8.49 million to $11 million, and increased the price again in May 2023 to $13 million, according to the complaint. In an email days before the fire, the night operator asked Campbell what he should do as there "isn't any money available to do payroll next week."

The investigation by the fire marshal indicated that the flames started in the southwest area of the basement. Days before the fire, the water heater in the basement had been repaired, and the technician returned soon after to find that the gasket on the tank was leaking combustion gases. Charges say that Campbell told the night auditor that he had turned on the gas valve to the water heater. The night auditor said that Campbell was typically "hands off" on mechanical issues and had "no idea" why he was down in the west basement, charges say.

The fire marshal said that there was residue near the water heater. Test results indicated that it was similar to a fire accelerant, though the State Fire Marshal said they're unsure how the fire started.

Charges say that Campbell filed an insurance claim of $16,565,901 in October of 2024.

He was charged with three counts of arson and one count of insurance fraud. 

yt-bryce.jpg
Oakland Co. Jail

Lutsen Lodge's history stretches back 140 years, when the plot of land was purchased by Charles Nelson, a Swedish immigrant. The lodge building was constructed in 1949 but burned down two years later. The building that burned in 2024 was a replica of of the original lodge, which was built in 1952.

View CBS News In
CBS News App Open
Chrome Safari Continue