San Diego's potent mix of good year-round climate, a strongconvention market and abundance of recreation again places it amongthe nation's top three destinations, according to InterBank BrenerHospitality. Only New York and San Francisco rank higher.

However, rising energy and labor costs could hurt the bottomline of area hotels and resorts, according to Robert Rauch,managing director of InterBank Brener.

The San Diego Convention and Visitors Bureau expects a healthy2001, especially with the expanded convention center's completionexpected by the end of the summer. The size of the center'sexhibition hall has been doubled, to 500,000 sf, and another100,000 sf is being added upstairs. According to Carol Wallace,president and CEO of the Convention Center Corp., the financialimpact from all the planned conventions is estimated at $504million.