First-quarter numbers showed a remarkable improvement from the final quarter of 2001. Year over year, hotel occupancy was down only 7.8% through April 2002 from nearly 20% in October 2001 when compared to 2000.

"Considering that the January 2001 to April 2001 period was particularly strong, the numbers show that San Diego has remained strong," says Robert Rauch, principal.

Between October and March, the lodging industry saw occupancies hovering in the low to mid 60% range. In April, occupancy rose to 70% with average daily room rates at $109.

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