This marks only the third time this year the average occupancy rate has risen. Year-to-date, the hotel occupancy rate is 62.7%, compared with 65.5% through the first 10 months of 2001.

Also, the average room rate in October was $86.48, compared with $88.43 a year ago. So far, only four times this year has the room rate been better than in 2001.

Despite the slight increase in the occupancy rate this year, the author of the report, hospitality consultant Bob Benton, says he had hoped for better.

"The hotel market is still soft," Benton tells GlobeSt.com. "It shows that it hasn't recovered yet. I would have thought that the October occupancy rate would have been 4 or 5 points higher. We're still missing the all-important business travelers. And, of course, the market was hurt by the fires this last summer."

He says he thought that the market would have been in much better shape by October. Now, he says he doesn't think the market will show recover until mid-2003.

"But it does look like we are going to have a good ski season, which will help the mountains and the tourist trade," Benton tells GlobeSt.com. "We've gotten a lot of good, early snow. If this continues through the rest of the season, it will help the tourist side of things, and the mountain resorts should do well."