North Shore resort sells for $15 million

DULUTH – A large North Shore resort in Two Harbors has traded hands for what could be a record price.

Superior Shores was sold to North Shore Resort Co. for about $15 million this month.

"It has an open-ended opportunity that is very appealing," said new owner Bryce Campbell, who has plans to update and expand the resort over the next several years.

Campbell also bought Lutsen Resort in 2018 along with his mother and business partner, Sheila Campbell.

Bryce Campbell said he will be splitting his time between the two properties.

"They're an hour apart but really they're different parts of the shore," he said. "That's great for marketing synergies."

The Campbells also own Campbell Hospitality Group in Canada, which includes the Copper River Inn in Fort Frances, Ontario, just across the border from International Falls.

Campbell said he wants to make the rustic Superior Shores resort more "rustic-chic." His purchase came with 131 of the 184 units at the 30-acre resort, including the Burlington Bay condo development; a lodge and event center; a restaurant, and a great deal of developable land with shoreline access.

First on his to-do list is an overhaul of the Kamloops restaurant and the addition of a spa.

"Hopefully by next winter we'll also have a lot of rentals for cross-country [skiing]," he said.

Frank Jermusek, who represented the seller, said Superior Shores has a lot of room for expansion and is already approved for 68 more condos, a hotel, retail shops and a water park.

"It will end up being one of the largest resorts overall in the state," said Jermusek, president of SVN Northco in St. Louis Park. He said the sale is believed to be a record sum paid for a North Shore resort.

As for longtime resort owner Joe Re, 72, Jermusek said, "He was looking to move on and retire."

The sale comes amid a flurry of North Shore resorts changing hands in recent years, which Jermusek said is part of a "generational change." Plus, he said, "occupancy is high and rates are good."

Jermusek said the Bluefin Bay resort in Tofte, Minn., could also be sold by this summer.

Campbell said that even amid the rush of investments on the North Shore, it's a friendly competition.

"I think each of these properties has such unique characteristics, everyone works really well together," Campbell said. "Nonetheless we do want to be the best ones on the shore."