**SECURITIES      AND EXCHANGE COMMISSION**

**WASHINGTON,      D.C. 20549**

**FORM 10-K**

**ANNUAL      REPORT**

**PURSUANT      TO SECTIONS 13 OR 15(d) OF THE**

**SECURITIES      EXCHANGE ACT OF 1934**

| **ý**                                                                                                                                                                                                                                                                                                                                                                                                       | **ANNUAL                REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES                EXCHANGE ACT OF 1934**     |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                             |                                                                                                                                 |
| **For                the fiscal year ended January 31, 2006.**                                                                                                                                                                                                                                                                                                                                              |
|                                                                                                                                                                                                                                                                                                                                                                                                             |                                                                                                                                 |
| **o**                                                                                                                                                                                                                                                                                                                                                                                                            | **TRANSITION                REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES                EXCHANGE ACT OF 1934** |
|                                                                                                                                                                                                                                                                                                                                                                                                             |                                                                                                                                 |
| **For                the transition period from                                                         to                                         .** |
|                                                                                                                                                                                                                                                                                                                                                                                                             |                                                                                                                                 |
| **Commission                File No. 1-7062**                                                                                                                                                                                                                                                                                                                                                               |

| **InnSuites                Hospitality Trust**                                                                          |
|-------------------------------------------------------------------------------------------------------------------------|
| (Exact                Name of Registrant as Specified in Its Charter)                                                   |
|                                                                                                                    |   |   |
| **Ohio**                                                                                                                |   | **34-6647590** |
| (State                or Other Jurisdiction of Incorporation or Organization)                                           |   | (I.R.S.                Employer Identification Number) |
|                                                                                                                    |   |   |
| **InnSuites                Hotels Centre, 1615 E. Northern Avenue,****Suite 102,                Phoenix, Arizona** |   | **85020** |
| (Address                of Principal Executive Offices)                                                                 |   | (ZIP                Code) |
|                                                                                                                    |   |   |
| Registrant’s                Telephone Number, including area code: **(602)                944-1500**              |
|                                                                                                                    |

| **Title of                Each Class**                                   |   | **Name                of Exchange on Which Registered** |
|-------------------------------------------------------------------------------|--------|---------------------------------------------------------|
| Shares                of Beneficial Interest,without                par value |   | American                Stock Exchange                  |

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***We      are subject to operating risks common in the hospitality industry.***

|   | · | changes                in occupancy and room rates achieved by our hotels and by competitive                area                hotels; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------|

|   | · | desirability                of a hotel's geographic location and changes in traffic                patterns; |
|--------|--------|--------------------------------------------------------------------------------------------------------------|

|   | · | changes                in general and local economic and market conditions, which can adversely                affect the level of business and leisure travel, and therefore the                demand                for lodging and related services; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | changes                in the number of hotels operating under specific franchised                brands; |
|--------|--------|-----------------------------------------------------------------------------------------------------------|

|   | · | increases                in costs due to inflation may not be able to be totally offset by                increases in room rates; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------|

|   | · | over-building                in one or more sectors of the hotel industry and/or in one or more                geographic regions, could lead to excess supply compared to demand,                and to                decreases in hotel occupancy and/or room                rates; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | changes                in travel patterns and travel costs affected by fuel                prices; |
|--------|--------|----------------------------------------------------------------------------------------------------|

|   | · | changes                in governmental regulations that influence or determine wages, prices                or                construction costs; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | other                unpredictable external factors, such as natural disasters, war, terrorist                attacks, epidemics, airline strikes, transportation and fuel price                increases and severe weather, may reduce business and leisure                travel; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the                need to periodically repair and renovate our hotels at a cost in                excess of                our standard 4% reserve; |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | increases                in the cost of labor, energy, healthcare, insurance and other operating                expenses resulting in lower operating                margins; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | the                financial condition of franchisors and travel related                companies; |
|--------|--------|----------------------------------------------------------------------------------------------------|

|   | · | our                ability to develop and maintain positive relations with current and                potential franchisors; and |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------|

|   | · | our                ability to develop our own regional “InnSuites”                brand. |
|--------|--------|------------------------------------------------------------------------------------------------------|

***The      hotel industry is highly competitive***

***We      have concentrated our marketing resources on the InnSuites Hotels®brand***

***We      may not have sufficient resources to pursue our current growth      strategy***

***We      have engaged in, and may continue to engage in, transactions involving Mr.      Wirth. These transactions pose conflict of interest issues for      us.***

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***We      have significant debt obligations***

***We      rely on key personnel***

***Under      certain circumstances, our franchisors may terminate our franchise contracts.***

***Due      to the geographic concentration of the hotels in our system, our results of      operations and financial condition are subject to fluctuations in regional      economic conditions.***

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***Our      expenses may remain constant even if revenues      decline.***

|   | · | fixed                labor costs; |
|--------|--------|-----------------------------------|

|   | · | interest                rate levels; |
|--------|--------|--------------------------------------|

|   | · | the                availability of financing; |
|--------|--------|-----------------------------------------------|

|   | · | increases                in real property tax rates; |
|--------|--------|------------------------------------------------------|

|   | · | the                cost of compliance with government regulations, including zoning                and tax                laws; and |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------|

|   | · | changes                in government regulations, including those governing usage, zoning                and                taxes. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------|

***Our      inability to sell real estate if and when desired may adversely affect our      financial condition.***

***We      are subject to governmental regulations affecting the hospitality industry;      the      costs of complying with governmental regulations, or our failure to comply      with      such regulations, could affect our financial condition and results of      operations.***

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***If      we fail to comply with privacy regulations, we could be subject to fines or      other restrictions on our business.***
**        **

***Increasing      use of internet reservation channels may decrease loyalty to our brands or      otherwise adversely affect us.***

***Our      business is seasonal in nature, and we are likely to experience fluctuations      in      our results of operations and financial condition.***

***Our      properties are subject to risks relating to natural disasters, terrorist      activity and war and any such event could materially adversely affect our      operating results.***
**        **

***Hospitality      companies have been the target of class actions and other lawsuits alleging      violations of federal and state law.***

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| **PROPERTY**                                                                      |   | **NUMBER****OF****SUITES** |   | **YEAR                OF****CONSTRUCTION/****ADDITION** |   | **MOST                RECENT****RENOVATION                (1)** |   |
|-----------------------------------------------------------------------------------|--------|----------------------------|--------|---------------------------------------------------------|--------|-----------------------------------------------------------------|--------|
|                                                                              |   |                       |   |                                                    |   |                                                            |   |
| InnSuites                Hotel and Suites Airport Albuquerque Best Western        |   | 101                        |   | 1975/1985                                               |   | 2004                                                            |   |
|                                                                              |   |                       |   |                                                    |   |                                                            |   |
| InnSuites                Hotel and Suites Tucson, Catalina Foothills Best Western |   | 159                        |   | 1981/1983                                               |   | 2005                                                            |   |
|                                                                              |   |                       |   |                                                    |   |                                                            |   |
| InnSuites                Hotels and Suites Yuma Best Western                      |   | 166                        |   | 1982/1984                                               |   | 2003                                                            |   |
|                                                                              |   |                       |   |                                                    |   |                                                            |   |
| InnSuites                Hotel and Suites Ontario Airport Best Western            |   | 150                        |   | 1990                                                    |   | 2005                                                            |   |
|                                                                              |   |                       |   |                                                    |   |                                                            |   |
| InnSuites                Hotels and Suites Tucson St. Mary’s                |   | 267                        |   | 1960/1971                                               |   | 2004                                                            |   |
|                                                                              |   |                       |   |                                                    |   |                                                            |   |
| Total                suites                                                       |   | 843                        |   |                                                    |   |                                                            |   |

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| **Name**                      |   | **For**   |   | **Against** |   |
|-------------------------------|--------|-----------|--------|-------------|--------|
| Steven                Robson  |   | 8,121,714 |   | 33,551      |   |
| Larry                Pelegrin |   | 8,121,714 |   | 33,551      |   |

| **For**   |   | **Against** |   | **Abstain** |   |
|-----------|--------|-------------|--------|-------------|--------|
| 7,065,769 |   | 1,044,674   |   | 44,822      |   |

| Item                5. | MARKET                FOR THE TRUST’S SHARES, RELATED SHAREHOLDER MATTERS AND TRUST PURCHASES OF                SHARES |
|------------------------|------------------------------------------------------------------------------------------------------------------------------|

| **Fiscal                Year 2006** |   | **High** |   | **Low** |   | **Dividends** |   |
|-------------------------------------|--------|----------|--------|---------|--------|---------------|--------|
| First                Quarter        |   | 1.52     |   | 1.11    |   | —       |   |
| Second                Quarter       |   | 1.75     |   | 1.23    |   | —       |   |
| Third                Quarter        |   | 1.50     |   | 1.24    |   | —       |   |
| Fourth                Quarter       |   | 1.50     |   | 1.20    |   | .01           |   |

| **Fiscal                Year 2005** |   | **High** |   | **Low** |   | **Dividends** |   |
|-------------------------------------|--------|----------|--------|---------|--------|---------------|--------|
| First                Quarter        |   | 2.25     |   | 1.60    |   | —       |   |
| Second                Quarter       |   | 2.25     |   | 1.48    |   | —       |   |
| Third                Quarter        |   | 1.63     |   | 1.49    |   | —       |   |
| Fourth                Quarter       |   | 1.95     |   | 1.12    |   | .01           |   |

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|                                               |   | **Issuer                Purchases of Equity Securities**                 |   |
|----------------------------------------------------|--------|--------------------------------------------------------------------------|--------|
| **Period**                                         |   | **Total                Number****of                Shares****Purchased** |   | **Average                Price****Paid                per****Share** |   | **Total                Number of Shares****Purchased                as Part of****Publicly                Announced****Plans** |   | **Maximum                Number of****Shares                that May Be Yet****Purchased                Under the****Plans** |   |
| November 1                - November 30, 2005 |   | 43,606                                                                   |   | $ | 1.33 |   | 43,606 |   | 285,322 |   |
| December                1 - December 31, 2005      |   | 62,378                                                                   |   | $ | 1.31 |   | 62,378 |   | 222,944 |   |
| January                1 - January 31, 2006        |   | 1,200                                                                    |   | $ | 1.43 |   | 1,200 |   | 214,112 |  * |

|                                                                                          |   | **Year                Ended January 31,** |       |
|-----------------------------------------------------------------------------------------------|--------|------------------------------------------------|------------|
|                                                                                          |   | **2006**                                       |       | **2005** |   | **2004** |   | **2003** |   | **2002** |   |
|                                                                                          |   |                                           |       |   |   |   |   |   |   |   |   |
| Total                revenue                                                                  |   | $                                              | 21,248,839 |   | $ | 22,875,187 |   | $ | 24,211,328 |   | $ | 26,940,473 |   | $ | 27,656,009 |   |
|                                                                                          |   |                                           |       |   |   |   |   |   |   |   |   |
| Net                income (loss) attributable to Shares of Beneficial                Interest |   | $                                              | 541,578    |   | $ | 240,442 |   | $ | (2,594,317 | ) | $ | (3,445,948 | ) | $ | (3,539,402 | ) |
|                                                                                          |   |                                           |       |   |   |   |   |   |   |   |   |
| Income                (loss) per share - basic                                                |   | $                                              | 0.06       |   | $ | 0.10 |   | $ | (1.27 | ) | $ | (1.67 | ) | $ | (1.66 | ) |
|                                                                                          |   |                                           |       |   |   |   |   |   |   |   |   |
| Income                (loss) per share - diluted                                              |   | $                                              | 0.02       |   | $ | 0.10 |   | $ | (1.27 | ) | $ | (1.67 | ) | $ | (1.66 | ) |
|                                                                                          |   |                                           |       |   |   |   |   |   |   |   |   |
| Cash                dividends paid and declared per share                                     |   | $                                              | 0.01       |   | $ | 0.01 |   | $ | 0.02 |   | $ | 0.01 |   | $ | 0.01 |   |
|                                                                                          |   |                                           |       |   |   |   |   |   |   |   |   |
| Total                assets                                                                   |   | $                                              | 31,952,358 |   | $ | 36,455,521 |   | $ | 47,961,594 |   | $ | 61,494,579 |   | $ | 64,264,516 |   |
|                                                                                          |   |                                           |       |   |   |   |   |   |   |   |   |
| Notes                and advances payable to banks and others                                 |   | $                                              | 20,736,859 |   | $ | 24,755,858 |   | $ | 31,974,992 |   | $ | 38,922,408 |   | $ | 38,598,106 |   |
|                                                                                          |   |                                           |       |   |   |   |   |   |   |   |   |
| Notes                and advances payable to related parties                                  |   | $                                              | 514,706    |   | $ | 93,512 |   | $ | 6,852,241 |   | $ | 9,901,153 |   | $ | 8,666,360 |   |

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|                                                    |   | **For                the Year Ended January 31,** |   |
|---------------------------------------------------------|--------|--------------------------------------------------------|--------|
|                                                    |   | **2006**                                               |   | **2005** |   | **2004** |   |
|                                                    |   |                                                   |   |   |   |   |   |
| Occupancy                                               |   | 69.72                                                  | %      | 68.55 | % | 62.79 | % |
|                                                    |   |                                                   |   |   |   |   |   |
| Average                Daily Rate (ADR)                 |   | $                                                      | 70.55  |   | $ | 70.83 |   | $ | 66.27 |   |
|                                                    |   |                                                   |   |   |   |   |   |
| Revenue                Per Available Room (REVPAR) |   | $                                                      | 49.19  |   | $ | 48.55 |   | $ | 41.61 |   |

***Results      of Operations of the Trust for the year ended January 31, 2006 compared to      the year ended January 31, 2005.***

*Overview*

|                                      |   | **2006** |       | **2005** |   | **Change** |   | **%                Change** |       |
|-------------------------------------------|--------|----------|------------|----------|--------|------------|--------|-----------------------------|------------|
| Revenue                                   |   | $        | 21,248,839 |     | $      | 22,875,187 |   | $                           | (1,626,348 | ) | (7.1 | )% |
| Operating                Income (Loss)    |   | $        | 349,349    |     | $      | (221,647   | )      | $                           | 570,996    |   | >100.0 | % |
| Net                Income                 |   | $        | 541,578    |     | $      | 240,442    |   | $                           | 301,136    |   | >100.0 | % |
| Income                Per Share - Basic   |   | $        | 0.06       |     | $      | 0.10       |   | $                           | (0.04      | )  | (40.0) | % |
| Income                Per Share - Diluted |   | $        | 0.02       |     | $      | 0.10       |   | $                           | (0.08      | )  | (80.0) | % |

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***Results      of Operations of the Trust for the year ended January 31, 2005 compared to      the year ended January 31, 2004.***

*Overview*

|                                                       |   | **2005** |       | **2004** |   | **Change** |   | **%                Change** |       |
|------------------------------------------------------------|--------|----------|------------|----------|--------|------------|--------|-----------------------------|------------|
| Revenue                                                    |   | $        | 22,875,187 |     | $      | 24,211,328 |   | $                           | (1,336,141 | ) | (5.5 | )% |
| Operating                Loss                              |   | $        | (221,647   | )        | $      | (272,479   | )      | $                           | 50,832     |   | 18.7 | % |
| Net                Income (Loss)                           |   | $        | 240,442    |     | $      | (2,594,317 | )      | $                           | 2,834,759  |   | >100.0 | % |
| Income                (Loss) Per Share - Basic and Diluted |   | $        | 0.10       |     | $      | (1.27      | )      | $                           | 1.37       |   | >100.0 | % |

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|                                                                                                                                                               |   | **PAYMENTS                DUE BY PERIOD** |       |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------|------------|
| **CONTRACTUAL                OBLIGATIONS**                                                                                                                         |   | **TOTAL**                                 |       | **LESS****THAN****1                YEAR** |   | **1-3****YEARS** |   | **3-5****YEARS** |   | **THEREAFTER** |   |
|                                                                                                                                                               |   |                                      |       |   |   |   |   |   |   |   |   |
| Mortgage                notes payable, notes payable to banks, other notes payable and notes                and                advances payable to related parties |   | $                                         | 21,251,565 |   | $ | 1,923,896 |   | $ | 2,243,933 |   | $ | 6,016,982 |   | $ | 11,066,754 |   |
|                                                                                                                                                               |   |                                      |       |   |   |   |   |   |   |   |   |
| Operating                leases                                                                                                                                    |   | 7,031,830                                 |       | 193,018 |   | 386,036 |   | 386,036 |   | 6,066,740 |   |
|                                                                                                                                                               |   |                                      |       |   |   |   |   |   |   |   |   |
| TOTAL                                                                                                                                                              |   | $                                         | 28,283,395 |   | $ | 2,116,914 |   | $ | 2,629,969 |   | $ | 6,403,018 |   | $ | 17,133,494 |   |

|   |   | **TOTAL** |      | **LESS****THAN****1                YEAR** |   | **1-3****YEARS** |   | **3-5****YEARS** |      | **THEREAFTER** |   |
|--------|--------|-----------|-----------|-------------------------------------------|--------|------------------|--------|------------------|-----------|----------------|--------|
|   |   |      |      |                                      |   |             |   |             |      |           |   |
|   |   | $         | 7,973,947 |                                      | $      | 1,707,938        |   | $                | 3,086,963 |           | $      | 2,213,515 |   | $ | 965,531 |   |

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|   | • | fluctuations                in hotel occupancy rates; |
|--------|---------|-------------------------------------------------------|

|   | • | changes                in room rental rates which may be charged by InnSuites Hotels in                response                to market rental rate changes or                otherwise; |
|--------|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | seasonality                of our business; |
|--------|---------|---------------------------------------------|

|   | • | interest                rate fluctuations; |
|--------|---------|--------------------------------------------|

|   | • | changes                in governmental regulations, including federal income tax laws and                regulations; |
|--------|---------|-----------------------------------------------------------------------------------------------------------------------|

|   | **•** | competition; |
|--------|-------------|--------------|

|   | • | any                changes in the Trust’s financial condition or operating results due to                acquisitions or dispositions of hotel                properties; |
|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | insufficient                resources to pursue our current growth strategy; |
|--------|---------|------------------------------------------------------------------------------|

|   | • | concentration                of our investments in the InnSuites Hotels® brand; |
|--------|---------|--------------------------------------------------------------------------------------|

|   | • | loss                of franchise contracts; |
|--------|---------|---------------------------------------------|

|   | • | real                estate and hospitality market                conditions; |
|--------|---------|------------------------------------------------------------------------------|

|   | • | hospitality                industry factors; |
|--------|---------|----------------------------------------------|

|   | • | our                ability to meet present and future debt service                obligations; |
|--------|---------|------------------------------------------------------------------------------------------------|

|   | • | terrorist                attacks or other acts of war; |
|--------|---------|--------------------------------------------------------|

|   | • | outbreaks                of communicable diseases; |
|--------|---------|----------------------------------------------------|

|   | • | natural                disasters; |
|--------|---------|-----------------------------------|

|   | • | loss                of key personnel; |
|--------|---------|---------------------------------------|

|   | • | local                or national economic and business conditions, including, without                limitation, conditions which may affect public securities markets                generally, the hospitality industry or the markets in which the Trust                operates or will operate; and |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | uncertainties                the Trust might encounter in changing from a REIT to a tax-paying                entity. |
|--------|---------|-----------------------------------------------------------------------------------------------------------------------|

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|                                                            |   | **Fiscal** |      |
|-----------------------------------------------------------------|--------|------------|-----------|
| **Debt                Type**                                    |   | **2007**   |      | **2008** |   | **2009** |   | **2010** |   | **2011** |   | **Thereafter** |   | **Total** |   | **Fair                Value** |   |
|                                                            |   |       |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Fixed                rate debt (1)                              |   | $          | 1,313,116 |   | 984,505 |   | 1,008,190 |   | 1,061,041 |   | 1,125,978 |   | 11,066,754 |   | 16,559,584 |   | 17,437,083 |   |
|                                                            |   |       |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Average                interest rate                            |   | 8.30       | %         | 7.95 | % | 7.97 | % | 7.98 | % | 8.00 | % | 8.02 | % | 8.04 | % | 7.50 | % |
|                                                            |   |       |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Variable                rate debt (1)                           |   | $          | 610,780   |   | 120,713 |   | 130,525 |   | 3,829,963 |   | — |   | — |   | 4,691,981 |   | 4,769,691 |   |
|                                                            |   |       |      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest                rate available on January 31, 2006 |   | 8.53       | %         | 8.50 | % | 8.50 | % | 8.50 | % | 8.50 | % | 8.50 | % | 8.50 | % | 8.53 | % |

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|   | (1) | The                fair value of fixed rate debt and variable rate debt were determined                based                on current rates offered for fixed rate debt and variable rate LIBOR                debt                with similar risks and maturities. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | Independent                Auditors’ Report - January 31, 2006 and 2005;                                                               | 26     |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|   |                                                                                                                                              |   |
|   | Independent                Auditors’ Report - January 31, 2004;                                                                        | 28     |
|   |                                                                                                                                              |   |
|   | Consolidated                Balance Sheets - January 31, 2006 and 2005;                                                                      | 30     |
|   |                                                                                                                                              |   |
|   | Consolidated                Statements of Operations - Years Ended January 31, 2006, 2005 and                2004;                           | 31     |
|   |                                                                                                                                              |   |
|   | Consolidated                Statements of Shareholders’ (Deficit) Equity - Years Ended                January 31, 2006, 2005 and 2004; | 33     |
|   |                                                                                                                                              |   |
|   | Consolidated                Statements of Cash Flow - Years Ended January 31, 2006, 2005 and                2004; and                        | 34     |
|   |                                                                                                                                              |   |
|   | Notes                to the Consolidated Financial Statements - January 31, 2006, 2005 and                2004.                              | 35     |

|   | Schedule III                - Real Estate and Accumulated Depreciation. | 50     |
|--------|------------------------------------------------------------------------------|--------|
|   |                                                                         |   |
|   | Schedule IV                - Mortgage Loans on Real Estate.             | 53     |

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**REPO****RT      OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

| To                the Shareholders and Board of Trustees of |   |   |
|-------------------------------------------------------------|--------|--------|
| InnSuites                Hospitality Trust                  |   |   |
| Phoenix,                Arizona:                            |   |   |

| /s/EPSTEIN,                WEBER & CONOVER, PLC |   |
|-----------------------------------------------------|--------|
|                                                |
|   Scottsdale,                Arizona      |
|   April                24, 2006           |

----

**REPORT      OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

| To                the Shareholders and Board of Trustees of |
|-------------------------------------------------------------|
| InnSuites                Hospitality Trust                  |
| Phoenix,                Arizona:                            |

| /s/EPSTEIN,                WEBER & CONOVER, PLC |   |
|-----------------------------------------------------|--------|
|                                                |
|   Scottsdale,                Arizona      |
|   April                24, 2006           |

----

REPORT      OF      INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM 

| /s/                McGladrey & Pullen, LLP |   |
|------------------------------------------------|--------|
|                                           |
| Phoenix,                Arizona                |
| March 12,                2004             |

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| /s/                McGladrey & Pullen, LLP |   |
|------------------------------------------------|--------|
|                                           |
| Phoenix,                Arizona                |
| March 12,                2004             |

----

CONSOLIDATED      BALANCE SHEETS

|                                                                                                                                                                                                                          |   | **JANUARY 31** |       |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------|------------|
|                                                                                                                                                                                                                          |   | **2006**            |       | **2005** |   |
| ASSETS                                                                                                                                                                                                                        |   |                |       |   |   |
| Current                Assets:                                                                                                                                                                                                |   |                |       |   |   |
| Cash                and Cash Equivalents                                                                                                                                                                                      |   | $                   | 34,251     |   | 1,343 |   |
| Restricted                Cash                                                                                                                                                                                                |   | 226,294             |       | 250,642 |   |
| Accounts                Receivable, including $14,828 and $144,928 from related parties,                net of                Allowance for Doubtful Accounts of $112,000 and $278,000,                respectively           |   | 531,961             |       | 969,751 |   |
| Prepaid                Expenses and Other Current Assets                                                                                                                                                                      |   | 494,829             |       | 510,864 |   |
| Total                Current Assets                                                                                                                                                                                           |   | 1,287,335           |       | 1,732,600 |   |
| Hotel                Properties, net                                                                                                                                                                                          |   | 30,215,391          |       | 31,190,139 |   |
| Hotel                Properties Held for Sale, net                                                                                                                                                                            |   | —             |       | 3,121,235 |   |
| Deferred                Finance Costs, Long-Term Portion                                                                                                                                                                      |   | 175,645             |       | 226,560 |   |
| Deposits,                Long-Term                                                                                                                                                                                            |   | 14,987              |       | 14,987 |   |
| Deferred                Income Tax Benefit                                                                                                                                                                                    |   | 259,000             |       | 170,000 |   |
| TOTAL                ASSETS                                                                                                                                                                                                   |   | $                   | 31,952,358 |   | 36,455,521 |   |
|                                                                                                                                                                                                                          |   |                |       |   |   |
| LIABILITIES                AND SHAREHOLDERS’ EQUITY                                                                                                                                                                     |   |                |       |   |   |
|                                                                                                                                                                                                                          |   |                |       |   |   |
| LIABILITIES                                                                                                                                                                                                                   |   |                |       |   |   |
| Current                Liabilities :                                                                                                                                                                                     |   |                |       |   |   |
| Accounts                Payable and Accrued Expenses, including $95,418 and $153,811 accrued                interest and payables to related parties as of January 31, 2006 and                2005, respectively        |   | $                   | 2,594,733  |   | 2,762,693 |   |
| Purchase                Deposit from Related Party                                                                                                                                                                            |   | —             |       | 700,000 |   |
| Notes                Payable to Banks                                                                                                                                                                                         |   | 500,000             |       | 500,000 |   |
| Current                Portion of Mortgage Notes Payable                                                                                                                                                                      |   | 879,265             |       | 1,060,827 |   |
| Current                Portion of Other Notes Payable                                                                                                                                                                         |   | 121,558             |       | 78,975 |   |
| Current                Portion of Notes Payable to Related Parties                                                                                                                                                            |   | 428,989             |       | 33,735 |   |
| Total                Current Liabilities                                                                                                                                                                                      |   | 4,524,545           |       | 5,136,230 |   |
| Mortgage                Notes Payable                                                                                                                                                                                         |   | 19,029,612          |       | 22,946,618 |   |
| Notes                Payable to Related Parties                                                                                                                                                                               |   | 85,717              |       | 59,777 |   |
| Other                Notes Payable                                                                                                                                                                                            |   | 206,424             |       | 169,438 |   |
|                                                                                                                                                                                                                          |   |                |       |   |   |
| TOTAL                LIABILITIES                                                                                                                                                                                              |   | 23,846,298          |       | 28,312,063 |   |
|                                                                                                                                                                                                                          |   |                |       |   |   |
| MINORITY                INTEREST IN PARTNERSHIP                                                                                                                                                                               |   | 1,388,132           |       | 1,878,824 |   |
|                                                                                                                                                                                                                          |   |                |       |   |   |
| SHAREHOLDERS’                EQUITY                                                                                                                                                                                     |   |                |       |   |   |
| Shares                of Beneficial Interest, without par value; unlimited authorization;                9,145,365 and 8,719,649 shares issued and outstanding at January 31,                2006 and 2005, respectively |   | 17,155,106          |       | 16,568,246 |   |
| Treasury                Stock, 7,494,578 and 7,391,825 shares held at January 31, 2006 and                2005,                respectively                                                                                   |   | (10,437,178         | )          | (10,303,612 | ) |
| TOTAL                SHAREHOLDERS’ EQUITY                                                                                                                                                                               |   | 6,717,928           |       | 6,264,634 |   |
| TOTAL                LIABILITIES AND SHAREHOLDERS’ EQUITY                                                                                                                                                               |   | $                   | 31,952,358 |   | 36,455,521 |   |

----

CONSOLIDATED      STATEMENTS OF OPERATIONS

|                                                                                                                                                                                             |   | **YEARS                ENDED JANUARY 31,** |       |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------|------------|
|                                                                                                                                                                                             |   | **2006**                                        |       | **2005** |   | **2004** |   |
| REVENUE                                                                                                                                                                                          |   |                                            |       |   |   |   |   |
| Room                                                                                                                                                                                             |   | $                                               | 16,029,694 |   | $ | 17,729,550 |   | $ | 22,026,498 |   |
| Food                and Beverage                                                                                                                                                                 |   | 1,122,191                                       |       | 1,238,808 |   | 1,363,216 |   |
| Telecommunications                                                                                                                                                                               |   | 56,804                                          |       | 99,894 |   | 154,231 |   |
| Other                                                                                                                                                                                            |   | 462,462                                         |       | 736,873 |   | 667,383 |   |
| Management                and Trademark Fees, including $209,862, $115,105 and $0 from related                parties for 2006, 2005 and 2004, respectively                                      |   | 382,260                                         |       | 278,888 |   | — |   |
| Payroll                Reimbursements, including $2,471,324, $2,191,474 and $0 from related                parties for 2006, 2005 and 2004, respectively                                         |   | 3,195,428                                       |       | 2,791,174 |   | — |   |
|                                                                                                                                                                                             |   |                                            |       |   |   |   |   |
| TOTAL                REVENUE                                                                                                                                                                     |   | 21,248,839                                      |       | 22,875,187 |   | 24,211,328 |   |
|                                                                                                                                                                                             |   |                                            |       |   |   |   |   |
| OPERATING                EXPENSES                                                                                                                                                                |   |                                            |       |   |   |   |   |
| Room                                                                                                                                                                                             |   | 4,222,369                                       |       | 5,010,738 |   | 6,019,634 |   |
| Food                and Beverage                                                                                                                                                                 |   | 1,168,246                                       |       | 1,226,074 |   | 1,323,480 |   |
| Telecommunications                                                                                                                                                                               |   | 153,313                                         |       | 226,559 |   | 311,408 |   |
| General                and Administrative (includes $0, $0 and $741,537 of management and                licensing fees to related parties for 2006, 2005 and 2004,                respectively) |   | 3,948,539                                       |       | 4,445,613 |   | 4,703,160 |   |
| Sales                and Marketing                                                                                                                                                               |   | 1,362,805                                       |       | 1,642,232 |   | 2,109,528 |   |
| Repairs                and Maintenance                                                                                                                                                           |   | 1,427,470                                       |       | 1,387,407 |   | 1,797,719 |   |
| Hospitality                                                                                                                                                                                      |   | 697,625                                         |       | 827,166 |   | 1,066,854 |   |
| Utilities                                                                                                                                                                                        |   | 1,166,233                                       |       | 1,232,940 |   | 1,686,040 |   |
| Hotel                Property Depreciation                                                                                                                                                       |   | 2,118,492                                       |       | 2,755,499 |   | 2,977,583 |   |
| Real                Estate and Personal Property Taxes, Insurance and Ground                Rent                                                                                                 |   | 1,258,380                                       |       | 1,329,463 |   | 1,669,510 |   |
| Other                                                                                                                                                                                            |   | 180,590                                         |       | 221,969 |   | 360,490 |   |
| Payroll                Costs Related to Management Contracts                                                                                                                                     |   | 3,195,428                                       |       | 2,791,174 |   | — |   |
| Loss                on Impairment of Hotel Property                                                                                                                                              |   | —                                         |       | — |   | 458,401 |   |
| TOTAL                OPERATING EXPENSES (includes $0, $0 and $7,389,988 in contract labor                expense to related party for 2006, 2005 and 2004,                respectively)          |   | 20,899,490                                      |       | 23,096,834 |   | 24,483,307 |   |
| OPERATING                INCOME (LOSS)                                                                                                                                                           |   | 349,349                                         |       | (221,647 | ) | (272,479 | ) |
| Interest                Income                                                                                                                                                                   |   | 2,134                                           |       | 7,517 |   | 981 |   |
| Other                Income                                                                                                                                                                      |   | 59,677                                     |       | —  |   | —  |   |
| Gain                on Disposition of Hotels                                                                                                                                                     |   | 1,847,425                                       |       | 5,113,540 |   | — |   |
| TOTAL                OTHER INCOME                                                                                                                                                                |   | 1,909,236                                       |       | 5,121,057 |   | 981 |   |
| Interest                on Mortgage Notes Payable                                                                                                                                                |   | 1,846,801                                       |       | 2,089,708 |   | 2,764,876 |   |
| Interest                on Notes Payable to Banks                                                                                                                                                |   | 28,322                                          |       | 23,659 |   | 53,984 |   |
| Interest                on Notes Payable and Advances Payable to Related Parties                                                                                                                 |   | 16,769                                          |       | 125,336 |   | 544,069 |   |
| Interest                on Other Notes Payable                                                                                                                                                   |   | 17,205                                          |       | 20,878 |   | 10,290 |   |
| TOTAL                INTEREST EXPENSE                                                                                                                                                            |   | 1,909,097                                       |       | 2,259,581 |   | 3,373,219 |   |
| INCOME                (LOSS) BEFORE MINORITY INTEREST, INCOME TAXES AND CUMULATIVE EFFECT                OF                ADOPTION OF ACCOUNTING PRINCIPLE                                      |   | 349,488                                         |       | 2,639,829 |   | (3,644,717 | ) |
| LESS                MINORITY INTEREST                                                                                                                                                            |   | (267,265                                        | )     | 1,384,985 |   | (1,050,400 | ) |
| Income                Tax Provision                                                                                                                                                              |   | (75,175                                         | )          | (160,000 | )  | — |   |
| INCOME                (LOSS) ATTRIBUTABLE TO SHARES OF BENEFICIAL INTEREST BEFORE CUMULATIVE                EFFECT OF ADOPTION OF ACCOUNTING PRINCIPLE                                           |   | 541,578                                         |       | 1,094,844 |   | (2,594,317 | ) |
| CUMULATIVE                EFFECT OF ADOPTION OF ACCOUNTING PRINCIPLE                                                                                                                             |   | —                                         |       | (854,402 | )  | — |   |
| INCOME                (LOSS) ATTRIBUTABLE TO SHARES OF BENEFICIAL INTEREST                                                                                                                       |   | $                                               | 541,578    |   | $ | 240,442 |   | $ | (2,594,317 | ) |
| INCOME                (LOSS) PER SHARE BEFORE CUMULATIVE EFFECT OF ADOPTION OF ACCOUNTING                PRINCIPLE- Basic                                                                        |   | $                                               | 0.06       |   | $ | 0.45 |   | $ | (1.27 | ) |
| NET                LOSS FROM CUMULATIVE EFFECT OF ADOPTION OF ACCOUNTING PRINCIPLE -                Basic                                                                                        |   | —                                         |       | (0.35 | )  | — |   |
| NET                INCOME (LOSS) PER SHARE - Basic                                                                                                                                               |   | $                                               | 0.06       |   | $ | 0.10 |   | $ | (1.27 | ) |
| WEIGHTED                AVERAGE NUMBER OF SHARES OUTSTANDING - Basic                                                                                                                             |   | 9,096,338                                       |       | 2,424,837 |   | 2,035,200 |   |
| INCOME                (LOSS) PER SHARE BEFORE CUMULATIVE EFFECT OF ADOPTION OF ACCOUNTING                PRINCIPLE- Diluted                                                                      |   | $                                               | 0.02       |   | $ | 0.45 |   | $ | (1.27 | ) |
| NET                LOSS FROM CUMULATIVE EFFECT OF ADOPTION OF ACCOUNTING PRINCIPLE -                Diluted                                                                                      |   | —                                         |       | (0.35 | )  | — |   |
| NET                INCOME (LOSS) PER SHARE - Diluted                                                                                                                                             |   | $                                               | 0.02       |   | $ | 0.10 |   | $ | (1.27 | ) |
| WEIGHTED                AVERAGE NUMBER OF SHARES OUTSTANDING - Diluted                                                                                                                           |   |                                            | 13,341,783 |   |   | 2,424,837 |   |   | 2,035,200 |   |
| CASH                DIVIDENDS PER SHARE                                                                                                                                                          |   | $                                               | .01        |   | $ | .01 |   | $ | .02 |   |

----

CONSOLIDATED      STATEMENTS OF SHAREHOLDERS’EQUITY      (DEFICIT)

| BALANCE,                JANUARY 31, 2003                                                                     |   | $          | (1,250,182 |  ) |
|-------------------------------------------------------------------------------------------------------------------|--------|------------|------------|---------|
| Net                Loss Attributable to Shares of Beneficial Interest                                             |   | (2,594,317 | )          |
| Dividends                                                                                                         |   | (40,986    | )          |
| Purchase                of Treasury Stock                                                                         |   | (29,095    | )          |
| Issuance                of Shares of Beneficial Interest for Compensation                                         |   | 99,680     |       |
| Related                Party Fees Forgiven                                                                        |   | 530,721    |       |
| Accrued                Rent Forgiven by the Partnership                                                           |   | 1,518,834  |       |
| Proceeds                from Sale of Hotel Property to Related Party in Excess of Carrying                Value   |   | 192,910    |       |
| Distribution                to Minority Interest Holders                                                          |   | (128,049   | )          |
| Reallocation                of Minority Interest                                                                  |   | 126,885    |       |
|                                                                                                              |   |       |       |
| BALANCE,                JANUARY 31, 2004                                                                     |   | (1,573,599 | )          |
| Net                Income Attributable to Shares of Beneficial Interest                                           |   | 240,442    |       |
| Dividends                                                                                                         |   | (23,220    | )          |
| Purchase                of Treasury Stock                                                                         |   | (225,917   | )          |
| Shares                of Beneficial Interest issued for Services Received                                         |   | 49,280     |       |
| Shares                of Beneficial Interest issued to Satisfy Notes Payable to Related                Parties    |   | 690,820    |       |
| Shares                of Beneficial Interest issued to Purchase Management and Licensing                Contracts |   | 155,000    |       |
| Shares                of Beneficial Interest issued to Satisfy Advances Payable to the                Partnership |   | 3,661,659  |       |
| Shares                of Beneficial Interest issued to Purchase Yuma Hospitality Minority                Interest |   | 2,766,515  |       |
| Purchase                of Yuma Hospitality Minority Interest Above Carrying Value                                |   | 1,177,425  |       |
| Purchase                of Partnership Units Above Carrying Value                                                 |   | 98,684     |       |
| Reallocation                of Minority Interest                                                                  |   | (752,455   | )          |
|                                                                                                              |   |       |       |
| BALANCE,                JANUARY 31, 2005                                                                     |   | 6,264,634  |       |
| Net                Income Attributable to Shares of Beneficial Interest                                           |   | 541,578    |       |
| Dividends                                                                                                         |   | (91,450    | )          |
| Purchase                of Treasury Stock                                                                         |   | (175,442   | )          |
| Shares                of Beneficial Interest issued for Services Received                                         |   | 37,888     |       |
| Partnership                Interest Acquired with Shares of Beneficial Interest                                   |   | 213,202    |       |
| Reallocation                of Minority Interest                                                                  |   | (72,482    | )          |
|                                                                                                              |   |       |       |
| BALANCE,                JANUARY 31, 2006                                                                     |   | $          | 6,717,928  |    |

----

CONSOLIDATED      STATEMENTS OF CASH FLOW

|                                                                                                                                                                 |   | **YEARS                ENDED JANUARY 31,** |    |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------|---------|
|                                                                                                                                                                 |   | **2006**                                        |    | **2005** |   | **2004** |   |
| CASH                FLOW FROM OPERATING ACTIVITIES                                                                                                                   |   |                                            |    |   |   |   |   |
| Net                Income (Loss) Attributable to Shares of Beneficial                Interest                                                                        |   | $                                               | 541,578 |   | $ | 240,442 |   | $ | (2,594,317 | ) |
| Adjustments                to Reconcile Net Income (Loss) Attributable to Shares of Beneficial                Interest to Net Cash Provided by Operating Activities: |   |                                            |    |   |   |   |   |
| Cumulative                Effect of Adoption of Accounting Principle                                                                                                 |   | —                                         |    | 854,402 |   | — |   |
| Net                Income from Variable Interest Entities                                                                                                            |   | —                                         |    | 352,882 |   | — |   |
| Issuance                of Shares for Management and Licensing Contracts                                                                                             |   | —                                         |    | 155,000 |   | — |   |
| Impairment                of Hotel Property                                                                                                                          |   | —                                         |    | — |   | 458,401 |   |
| Provision                for Uncollectible Receivables                                                                                                               |   | 354,165                                         |    | 377,465 |   | 198,448 |   |
| Minority                Interest                                                                                                                                     |   | (267,265                                        | )       | 1,032,103 |   | (1,050,400 | ) |
| Hotel                Property Depreciation                                                                                                                           |   | 2,118,492                                       |    | 2,755,499 |   | 2,977,583 |   |
| Deferred                Income Taxes                                                                                                                                 |   | (89,000                                         | )       | (170,000 | )  | — |   |
| (Gain)                Loss on Disposal Sale of Hotel Property                                                                                                        |   | (1,834,080                                      | )       | (4,999,797 | )  | 124,310 |   |
| Amortization                of Deferred Loan Fees                                                                                                                    |   | 36,373                                          |    | 38,312 |   | 49,036 |   |
| Capital                Contribution from Waived Management and Licensing Fee                Expense                                                                  |   | —                                         |    | — |   | 530,721 |   |
| Changes                in Assets and Liabilities:                                                                                                                    |   |                                            |    |   |   |   |   |
| (Increase)                Decrease  in Prepaid Expenses and Other Assets                                                                                        |   | (57,734                                         | )  | 311,781 |   | 126,318 |   |
| Decrease                (Increase) in Accounts Receivable                                                                                                            |   | 134,808                                         |    | (439,814 | ) | (507,907 | ) |
| Increase                in Purchase Deposit from Related Party                                                                                                       |   | —                                         |    | 700,000 |   | — |   |
| (Decrease)                in Accounts Payable and Accrued Expenses                                                                                                   |   | (59,451                                         | )       | (547,850 | ) | (224,509 | ) |
| NET                CASH PROVIDED BY OPERATING ACTIVITIES                                                                                                             |   | 877,886                                         |    | 660,425 |   | 87,684 |   |
|                                                                                                                                                                 |   |                                            |    |   |   |   |   |
| CASH                FLOW FROM INVESTING ACTIVITIES                                                                                                                   |   |                                            |    |   |   |   |   |
| Sale                of Hotel Properties                                                                                                                              |   | 1,190,192                                       |    | 9,377,138 |   | 12,150,503 |   |
| Improvements                and Additions to Hotel Properties                                                                                                        |   | (1,272,259                                      | )       | (1,308,008 | ) | (1,863,893 | ) |
| Change                in Restricted Cash                                                                                                                             |   | 17,311                                          |    | (113,852 | ) | (91,003 | ) |
| NET                CASH (USED IN) PROVIDED BY INVESTING ACTIVITIES                                                                                                   |   | (64,756                                         | )  | 7,955,278 |   | 10,195,607 |   |
|                                                                                                                                                                 |   |                                            |    |   |   |   |   |
| CASH                FLOW FROM FINANCING ACTIVITIES                                                                                                                   |   |                                            |    |   |   |   |   |
| Principal                Payments on Mortgage Notes Payable                                                                                                          |   | (931,386                                        | )       | (6,087,771 | ) | (4,306,890 | ) |
| Payments                on Notes Payable to Banks                                                                                                                    |   | (2,217,000                                      | )       | (720,000 | ) | (3,087,250 | ) |
| Borrowings                on Notes Payable to Banks                                                                                                                  |   | 2,217,000                                       |    | 500,000 |   | 440,000 |   |
| Repurchase                of Partnership Units                                                                                                                       |   | (774                                            | )       | (453,223 | ) | (337 | ) |
| Repurchase                of Treasury Stock                                                                                                                          |   | (30,191                                         | )       | (113,517 | ) | (29,095 | ) |
| Payment                of Dividends                                                                                                                                  |   | (91,450                                         | )       | (23,220 | ) | (40,986 | ) |
| Distributions                to Minority Interest Holders                                                                                                            |   | —                                         |    | (85,683 | ) | — |   |
| Payments                on Notes and Advances Payable to Related Parties                                                                                             |   | (35,806                                         | )       | (1,740,299 | ) | (4,773,927 | ) |
| Borrowings                on Notes and Advances Payable to Related Parties                                                                                           |   | 400,000                                         |    | 198,000 |   | 1,507,750 |   |
| Payments                on Other Notes Payable                                                                                                                       |   | (90,615                                         | )       | (88,647 | ) | (81,075 | ) |
|                                                                                                                                                                 |   |                                            |    |   |   |   |   |
| NET                CASH USED IN FINANCING ACTIVITIES                                                                                                                 |   | (780,222                                        | )       | (8,614,360 | ) | (10,371,810 | ) |
|                                                                                                                                                                 |   |                                            |    |   |   |   |   |
| NET                INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS                                                                                                  |   | 32,908                                          |    | 1,343 |   | (88,519 | ) |
|                                                                                                                                                                 |   |                                            |    |   |   |   |   |
| CASH                AND CASH EQUIVALENTS AT BEGINNING OF YEAR                                                                                                        |   | 1,343                                           |    | — |   | 88,519 |   |
|                                                                                                                                                                 |   |                                            |    |   |   |   |   |
| CASH                AND CASH EQUIVALENTS AT END OF YEAR                                                                                                              |   | $                                               | 34,251  |   | $ | 1,343 |   | $ | — |   |

----

NOTES      TO      CONSOLIDATED FINANCIAL STATEMENTS

----

----

*** ***

----

|                                                                                                          |    |          |
|---------------------------------------------------------------------------------------------------------------|---------|---------------|
|                                                                                                          |    | **2005**      |   | **2004** |
| Net                income (loss):                                                                             |    |          |   |   |
|                                                                                                          | $       | 240,442       |   | $ | (2,594,317 | ) |
|                                                                                                          |    |          |   |   |   |   |
|  Plus:                                                                                                   |    |          |   |   |   |   |
|  Stock              compensation recorded in the statements of operations                                | $       | 49,280        |   | $ | — |   |
|  Minus:                                                                                                  |    |          |   |   |   |   |
|  Total              stock-based compensation expense as defined under the fair value              method | $       | (49,280       | )  | $ | — |   |
|                                                                                                          |    |          |   |   |   |   |
|  Pro              forma stock compensation expense                                                  |  $ | —  |   |   | (175  | )  |
|                                                                                                          |    |          |   |   |   |   |
|  Pro              forma                                                                                  | $       | 240,442       |   | $ | (2,594,492 | ) |
|                                                                                                          |    |          |   |   |   |   |
|  Net              income (loss) per share - basic                                                        |    |          |   |   |   |   |
|  As              reported                                                                                | $       | 0.10          |   | $ | (1.27 | ) |
|                                                                                                          |    |          |   |   |   |   |
|  Pro              forma                                                                                  | $       | 0.10          |   | $ | (1.27 | ) |

----

----

|                                             |   | **2006**    |       | **2005**    |   |
|--------------------------------------------------|--------|-------------|------------|-------------|--------|
| Land                                             |   | $           | 2,824,520  |        | $      | 2,824,520 |   |
| Building                and improvements         |   | 33,520,145  |       | 32,958,443  |   |
| Furniture,                fixtures and equipment |   | 7,213,866   |       | 6,913,030   |   |
|                                             |   |        |       |        |   |
| Total                hotel properties            |   | 43,558,531  |       | 42,695,993  |   |
| Less                accumulated depreciation     |   | (13,343,140 | )          | (11,505,854 | )      |
|                                             |   |        |       |        |   |
| Hotel                properties, net             |   | $           | 30,215,391 |        | $      | 31,190,139 |   |
| Hotel                properties, held for sale   |   | $           | --         |        | $      | 3,121,235 |   |

----

|                                                                                                                                                                                                                                                                                                                                                                                                                                  |   | **2006**  |       | **2005**  |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------|------------|-----------|--------|
| Mortgage                note payable, due in variable monthly installments ($38,970 as of                January                31, 2006), including interest at prime rate plus 1.0% per year (8.5%                as of                January 31, 2006), through July 29, 2009, secured by the Tucson St.                Mary’s property with a carrying value of $9.3 million at January 31,                2006. |   | $         | 4,191,981  |      | $      | 4,285,505 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |      |       |      |   |
| Mortgage                note payable, due in monthly installments of $48,738, including interest                at 8% per year, through May 1, 2016, secured by the Tucson Oracle                property                with a carrying value of $5.2 million                at January 31, 2006.                                                                                                                          |   | 4,103,465 |       | 4,349,266 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |      |       |      |   |
| Mortgage                note payable, due in monthly installments of $71,141, including interest                at 8.28% per year, through May 11, 2011, secured by the Ontario property                with a carrying value of $7.0 million                at January 31, 2006.                                                                                                                                           |   | 8,448,212 |       | 8,586,467 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |      |       |      |   |
| Mortgage                note payable, due in monthly installments of $15,858, including interest                at 8.875% per year, through September 1, 2015, secured by the                Albuquerque property with a carrying value of $1.8 million at                January 31, 2006.                                                                                                                                 |   | 1,232,062 |       | 1,309,249 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |      |       |      |   |
| Mortgage                note payable, due in monthly installments of $41,168, including interest                at 9.25% per year, through August 1, 2011, secured by the Yuma                property with a carrying value of $6.6                million at January 31, 2006.                                                                                                                                       |   | 1,933,157 |       | 2,186,099 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |      |       |      |   |
| Mortgage                note payable, paid in full during fiscal year 2006 in connection                with the                sale of the Phoenix property.                                                                                                                                                                                                                                                                         |   | —   |       | 3,290,859 |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |      |       |      |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |      |       |      |   |
| Totals                                                                                                                                                                                                                                                                                                                                                                                                                                |   | $         | 19,908,877 |      | $      | 24,007,445 |   |

----

|                                                                                                                                                                                                                                                                                                                                                                                                                               |   | **2006** |    | **2005** |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------|---------|----------|--------|
|                                                                                                                                                                                                                                                                                                                                                                                                                               |   |     |    |     |   |   |   |
| Note                payable to Rare Earth Financial, L.L.C., an affiliate of Mr. Wirth,                unsecured and bearing interest at 7% per annum. Due in one installment                of                accrued interest and unpaid principal on April 15, 2006.                                                                                                                                                            |   | $        | 400,000 |     | $      | — |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                               |   |     |    |     |   |
| Note                payable to The Anderson Charitable Remainder Unitrust, an affiliate                of                Mason Anderson, former Trustee of the Trust, bearing interest at                7% per                annum, and secured by Shares of Beneficial Interest in the Trust.                Due in                monthly principal and interest payments of $1,365 through                November 2009. |   | 54,929   |    | —  |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                               |   |     |    |     |   |
| Note                payable to Wayne Anderson, son of Mason Anderson, former Trustee                of the                Trust, bearing interest at 7% per annum, and secured by Shares of                Beneficial Interest in the Trust. Due in monthly principal and interest                payments of $574 through June 2009.                                                                                         |   | 20,886   |    | 26,114   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                               |   |     |    |     |   |
| Note                payable to Karen Anderson, daughter of Mason Anderson, former Trustee                of                the Trust, bearing interest at 7% per annum, and secured by Shares                of                Beneficial Interest in the Trust. Due in monthly principal and interest                payments of $574 through June 2009.                                                                     |   | 20,886   |    | 26,115   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                               |   |     |    |     |   |
| Note                payable to Kathy Anderson, daughter of Mason Anderson, former Trustee                of                the Trust, bearing interest at 7% per annum, and secured by Shares                of                Beneficial Interest in the Trust. Due in monthly principal and interest                payments of $495 through June 2009.                                                                     |   | 18,005   |    | 22,512   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                               |   |     |    |     |   |
| Note                payable to The Anderson Charitable Remainder Unitrust, an affiliate                of                Mason Anderson, former Trustee of the Trust. Paid in full during                fiscal                year 2006.                                                                                                                                                                                          |   | —  |    | 18,771   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                               |   |     |    |     |   |
| Totals                                                                                                                                                                                                                                                                                                                                                                                                                             |   | $        | 514,706 |     | $      | 93,512 |   |

----

| **FISCAL                YEAR ENDED** |   | **AMOUNT** |       |
|--------------------------------------|--------|------------|------------|
| 2007                                 |   | $          | 1,923,896  |   |
| 2008                                 |   | 1,105,218  |       |
| 2009                                 |   | 1,138,715  |       |
| 2010                                 |   | 4,891,004  |       |
| 2011                                 |   | 1,125,978  |       |
| Thereafter                           |   | 11,066,754 |       |
|                                 |   |       |       |
|                                 |   | $          | 21,251,565 |   |

----

|              |   | **CALENDAR                2005**                     |   | **CALENDAR                2004**        |    | **CALENDAR                2003** |   |
|-------------------|--------|------------------------------------------------------|--------|-----------------------------------------|---------|----------------------------------|--------|
| **Month****Paid** |   | **Ordinary****Income**                               |   | **Return                of****Capital** |    | **Total****Paid**                |   | **Ordinary****Income** |   | **Return                of****Capital** |   | **Total****Paid** |   | **Ordinary****Income** |   | **Return                of****Capital** |   | **Total****Paid** |   |
| January           |   | $        .01 |   |                                    | — |                             | $      | .01 |   | — |   | $ | .02 |   | $ | .02 |   | — |   | $ | .01 |   | $ | .01 |   |
| May               |   | —                                              |   | —                                 |    | —                          |   | — |   | — |   | — |   | — |   | — |   | — |   |
| July              |   | —                                              |   | —                                 |    | —                          |   | — |   | — |   | — |   | — |   | — |   | — |   |
| October           |   | —                                              |   | —                                 |    | —                          |   | — |   | — |   | — |   | — |   | — |   | — |   |
| Total             |   | $        .01 |   |                                    | — |                             | $      | .01 |   | — |   | $ | .02 |   | $ | .02 |   | — |   | $ | .01 |   | $ | .01 |   |

|     |   | **Amount**  |       |
|----------|--------|-------------|------------|
| **Year** |   | **Federal** |       | **State** |   |
|     |   |        |       |   |   |
| 2008     |   | $           | —    |   | $ | — |   |
| 2009     |   | —     |       | — |   |
| 2017     |   | 1,167,598   |       | — |   |
| 2018     |   | 3,883,556   |       | — |   |
| 2019     |   | 1,163,799   |       | — |   |
| 2020     |   | 1,979,025   |       | — |   |
| 2021     |   | 250,847     |       | — |   |
| 2022     |   | 1,580,590   |       | — |   |
| 2023     |   | 1,671,294   |       | — |   |
| 2024     |   | 2,302,410   |       | — |   |
|     |   |        |       |   |   |
|     |   | $           | 13,999,119 |   | $ | — |   |

----

|  Total                and net deferred income tax assets at January 31,                                         |   |       |  2006  |   |   |             |   2005 |   |
|----------------------------------------------------------------------------------------------------------------------|--------|------------|------------------|--------|--------|------------------|------------------|--------|
| Net                operating loss carryforwards                                                                      |   | $          | 5,600,000        |   |   | $                | 6,722,000        |   |
| Book/Tax                differences in operating assets                                                              |   | 50,000     |             |   |   | 94,000           |             |
| Total                deferred income tax assets                                                                      |   | 5,650,000  |             |   |   | 6,816,000        |             |
|                                                                                                                 |   |       |             |   |   |             |             |
| Deferred                income tax liability associated with book/tax differences in hotel                properties |   | (2,900,000 | )                |   |   |  (3,425,000 | )                |
| Net                deferred income tax asset                                                                         |   | 2,750,000  |             |   |   |  3,391,000  |             |
| Valuation                allowance                                                                                   |   | (2,491,000 | )                |   |   |  (3,221,000 | )                |
| Net                deferred income tax asset                                                                         |   | $          | 259,000          |   |   | $                | 170,000          |   |

|  Income              taxes for the year ended January 31, |   |   2006                                                                 |    |    2005                                                           |   |
|----------------------------------------------------------------|--------|----------------------------------------------------------------------------------|---------|----------------------------------------------------------------------------------|--------|
| Current                income tax provision                    |   | $            164,000 |    | $            330,000 |   |
| Deferred                income tax benefit                     |   |                                                                             | (89,000 | )                                                                                |   | (170,000 | ) |
| Net                income tax provision                        |   | $                                                                                | 75,000  |                                                                             | $      | 160,000 |   |

| Federal                  statutory rates                                                                                                          |   | $             210,000 |     |   34 | %      |
|---------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------|----------|----------------|--------|
| State                  income taxes                                                                                                               |   |                                                                                   | 37,000   |           |   | 6 | % |
| Utilization                  of federal net operating loss carrfyforward and related recognition                  of tax                  benefit |   |                                                                                   | (214,000 | )              |   | (35 | )% |
| Alternative                  minimum tax                                                                                                          |   |                                                                                   | 42,000   |           |   | 7 | % |
| Effective                  rate                                                                                                                   |   | $                                                                                      | 75,000   |           |   | 12 | % |

----

|                                                         |   | **2006**               |       | **2005**          |   |
|--------------------------------------------------------------|--------|------------------------|------------|-------------------|--------|
|                                                         |   | **CARRYING****AMOUNT** |       | **FAIR****VALUE** |   | **CARRYING****AMOUNT** |   | **FAIR****VALUE** |   |
| Mortgage                notes payable                        |   | $                      | 19,908,877 |              | $      | 20,867,605 |   | $ | 24,007,445 |   | $ | 25,675,971 |   |
|                                                         |   |                   |       |              |   |   |   |   |   |
| Notes                payable to banks                        |   | 500,000                |       | 500,000           |   | 500,000 |   | 500,000 |   |
|                                                         |   |                   |       |              |   |   |   |   |   |
| Notes                and advances payable to related parties |   | 514,706                |       | 513,500           |   | 93,512 |   | 94,713 |   |
|                                                         |   |                   |       |              |   |   |   |   |   |
| Other                notes payable                           |   | 327,982                |       | 325,669           |   | 248,413 |   | 252,911 |   |

|                                                                                                             |   | **2006** |      | **2005** |   | **2004**  |   |
|------------------------------------------------------------------------------------------------------------------|--------|----------|-----------|----------|--------|-----------|--------|
| Cash                paid for interest                                                                            |   | $        | 1,894,693 |     | $      | 2,514,975 |   | $ | 3,030,616 |   |
|                                                                                                             |   |     |      |     |   |      |   |
| Promissory                notes issued by the Trust to acquire Class A limited partnership                units  |   | 81,933   |      | 179,500  |   | 87,800    |   |
|                                                                                                             |   |     |      |     |   |      |   |
| Promissory                notes issued by the Trust to acquire Shares of Beneficial                Interest      |   | 145,251  |      | 112,400  |   | —   |   |
|                                                                                                             |   |     |      |     |   |      |   |
| Promissory                notes issued by the Trust to acquire Class B limited partnership                units  |   | —  |      | 971,831  |   | —   |   |
|                                                                                                             |   |     |      |     |   |      |   |
| Shares                issued to Trustees and Officers in exchange for services                                   |   | 37,888   |      | 49,280   |   | 43,680    |   |
|                                                                                                             |   |     |      |     |   |      |   |
| Shares                issued to affiliates to satisfy notes payable                                              |   | —  |      | 690,821  |   | —   |   |
|                                                                                                             |   |     |      |     |   |      |   |
| Accrued                interest reclassified to principal due on notes payable to related                parties |   | —  |      | —  |   | 417,264   |   |
|                                                                                                             |   |     |      |     |   |      |   |
| Promissory                notes assigned to satisfy notes payable to related parties                             |   | —  |      | —  |   | 200,000   |   |

----

| **Fiscal                Year Ending January 31,** |   |      |      |
|---------------------------------------------------|--------|-----------|-----------|
| 2007                                              |   | $         | 193,018   |   |
| 2008                                              |   | 193,018   |      |
| 2009                                              |   | 193,018   |      |
| 2010                                              |   | 193,018   |      |
| 2010                                              |   | 193,018   |      |
| Thereafter                                        |   | 6,066,740 |      |
|                                              |   |      |      |
| Total                                             |   | $         | 7,031,830 |   |

----

|                                              |   | **Number                of Options** |   | **Weighted-****Average****Exercise                Price** |    |
|---------------------------------------------------|--------|--------------------------------------|--------|-----------------------------------------------------------|---------|
| Stock                Option Activity              |   |                                 |   |                                                      |    |
|                                              |   |                                 |   |                                                      |    |
| Outstanding,                January 31, 2003 |   | 253,200                              |   | $                                                         | 2.50    |   |
| Granted                                           |   | —                              |   | —                                                   |    |
| Forfeited                                         |   | (7,200                               | )      | 2.50                                                      |    |
| Exercised                                         |   | —                              |   | —                                                   |    |
| Outstanding,                January 31, 2004 |   | 246,000                              |   | $                                                         | 2.50    |   |
| Granted                                           |   | —                              |   | —                                                   |    |
| Forfeited                                         |   | (13,400                              | )      | 2.50                                                      |    |
| Exercised                                         |   | —                              |   | —                                                   |    |
|                                              |   |                                 |   |                                                      |    |
| Outstanding,                January 31, 2005 |   | 232,600                              |   | $                                                         | 2.50    |   |
| Granted                                           |   | —                              |   | —                                                   |    |
| Forfeited                                         |   | (232,600                             | )      | 2.50                                                      |    |
| Exercised                                         |   | —                              |   | —                                                   |    |
|                                              |   |                                 |   |                                                      |    |
| Outstanding,                January 31, 2006 |   | —                              |   | $                                                         | — |   |

| **Stock                Option Information**                |   | **January 31,                2006** |    |
|------------------------------------------------------------|--------|------------------------------------------|---------|
|                                                       |   |                                     |    |
| Options                exercisable                         |   | —                                  |    |
| Weighted                Average Exercise Price             |   |                                     | — |   |
| Weighted                Average Remaining Contractual Life |   | —                                  |    |

| **FISCAL                2006**                                                                             |   | **APRIL 30** |      | **JULY 31** |     | **OCTOBER 31** |     | **JANUARY 31** |      | **FISCAL                2006** |   |
|------------------------------------------------------------------------------------------------------------|--------|-------------------|-----------|------------------|----------|---------------------|----------|---------------------|-----------|--------------------------------|--------|
|                                                                                                       |   |              |      |             |     |                |     |                |      |                           |   |
| Total                revenue                                                                               |   | $                 | 6,573,433 |             | $        | 4,852,780           |     | $                   | 4,698,158 |                           | $      | 5,124,468 |   | $ | 21,248,839 |   |
|                                                                                                       |   |              |      |             |     |                |     |                |      |                           |   |
| Total                revenue less interest expense on mortgage loans and operating                expenses |   | $                 | 419,576   |             | (869,643 | )                   | (628,114 | )                   | (419,271  | )                              | $      | (1,497,452 | ) |
|                                                                                                       |   |              |      |             |     |                |     |                |      |                           |   |
| Net                income (loss)                                                                           |   | $                 | 404,301   |             | 658,129  |                | (371,668 | )                   | (162,321  | )                              | $      | 541,578 |   |
|                                                                                                       |   |              |      |             |     |                |     |                |      |                           |   |
| Income                (loss) per share - basic                                                             |   | $                 | .05       |             | .07      |                | (.04     | )                   | (.02      | )                              | $      | 0.06 |   |
|                                                                                                       |   |              |      |             |     |                |     |                |      |                           |   |
| Income                (loss) per share - diluted                                                           |   | $                 | .03       |             | .07      |                | (.04     | )                   | (.02      | )                              | $      | 0.02 |   |
|                                                                                                       |   |              |      |             |     |                |     |                |      |                           |   |
| Dividends                declared per share                                                                |   | $                 | —   |             | —  |                | —  |                | .01       |                           | $      | .01 |   |

| **FISCAL                2005**                                                                             |   | **APRIL 30** |      | **JULY 31** |       | **OCTOBER 31** |     | **JANUARY 31** |      | **FISCAL                2005** |   |
|------------------------------------------------------------------------------------------------------------|--------|-------------------|-----------|------------------|------------|---------------------|----------|---------------------|-----------|--------------------------------|--------|
|                                                                                                       |   |              |      |             |       |                |     |                |      |                           |   |
| Total                revenue                                                                               |   | $                 | 7,358,640 |             | $          | 4,922,554           |     | $                   | 5,062,591 |                           | $      | 5,531,402 |   | $ | 22,875,187 |   |
|                                                                                                       |   |              |      |             |       |                |     |                |      |                           |   |
| Total                revenue less interest expense on mortgage loans and operating                expenses |   | $                 | 421,304   |             | (1,230,942 | )                   | (780,262 | )                   | (721,455  | )                              | $      | (2,311,355 | ) |
|                                                                                                       |   |              |      |             |       |                |     |                |      |                           |   |
| Net                income (loss)                                                                           |   | $                 | 2,028,243 |             | (934,548   | )                   | (340,502 | )                   | (475,916  | )                              | $      | 240,442 |   |
|                                                                                                       |   |              |      |             |       |                |     |                |      |                           |   |
| Income                (loss) per share - basic                                                             |   | $                 | .94       |             | (.40       | )                   | (.14     | )                   | (.17      | )                              | $      | 0.10 |   |
|                                                                                                       |   |              |      |             |       |                |     |                |      |                           |   |
| Income                (loss) per share - diluted                                                           |   | $                 | .56       |             | (.40       | )                   | (.14     | )                   | (.17      | )                              | $      | 0.10 |   |
|                                                                                                       |   |              |      |             |       |                |     |                |      |                           |   |
| Dividends                declared per share                                                                |   | $                 | —   |             | —    |                | —  |                | .01       |                           | $      | .01 |   |

----

----

----

|                                                   |   |             |       | **Initial****Cost****to                Tenant** |   | **Cost****Capitalized****Subsequent                to Acquisition** |   | **Gross                Amounts at****Which                Carried at****Close                of Period** |       |
|--------------------------------------------------------|--------|------------------|------------|-------------------------------------------------|--------|---------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------|------------|
|                                                   |   | **Encumbrances** |       | **Land**                                        |   | **Building                and****Improvements**                     |   | **Land**                                                                                                 |       | **Building                and****Improvements** |   | **Land** |   | **Building                and****Improvements** |   |
|                                                   |   |             |       |                                            |   |                                                                |   |                                                                                                     |       |   |   |   |   |   |   |
| InnSuites                Hotel and Suites              |   |             |       |                                            |   |                                                                |   |                                                                                                     |       |   |   |   |   |   |   |
| Tucson,                Catalina Foothills Best Western |   |             |       |                                            |   |                                                                |   |                                                                                                     |       |   |   |   |   |   |   |
| Tucson,                Arizona                         |   | $                | 4,103,465  |                                            | $      | —                                                             |   | $                                                                                                        | 4,220,820  |   | $ | — |   | $ | 2,210,442 |   | $ | — |   | $ | 6,431,262 |   |
| InnSuites                Hotels and Suites             |   |             |       |                                            |   |                                                                |   |                                                                                                     |       |   |   |   |   |   |   |
| Yuma                                                   |   |             |       |                                            |   |                                                                |   |                                                                                                     |       |   |   |   |   |   |   |
| Yuma,                Arizona                           |   | 1,933,157        |       | 251,649                                         |   | 4,983,292                                                           |   | 53,366                                                                                                   |       | 2,476,435 |   | 305,015 |   | 7,459,727 |   |
| Best                Western                            |   |             |       |                                            |   |                                                                |   |                                                                                                     |       |   |   |   |   |   |   |
| Airport                Ontario Hotel and Suites        |   |             |       |                                            |   |                                                                |   |                                                                                                     |       |   |   |   |   |   |   |
| Ontario,                California                     |   | 8,448,212        |       | 1,633,064                                       |   | 5,450,872                                                           |   | —                                                                                                  |       | 1,694,576 |   | 1,633,064 |   | 7,145,448 |   |
| InnSuites                Hotels and Suites             |   |             |       |                                            |   |                                                                |   |                                                                                                     |       |   |   |   |   |   |   |
| Tucson                St. Mary’s                 |   |             |       |                                            |   |                                                                |   |                                                                                                     |       |   |   |   |   |   |   |
| Tucson,                Arizona                         |   | 4,191,981        |       | 900,000                                         |   | 9,166,549                                                           |   | (20,564                                                                                                  | )          | 975,673 |   | 879,436 |   | 10,152,222 |   |
| InnSuites                Hotels and Suites             |   |             |       |                                            |   |                                                                |   |                                                                                                     |       |   |   |   |   |   |   |
| Albuquerque                Airport Best Western        |   |             |       |                                            |   |                                                                |   |                                                                                                     |       |   |   |   |   |   |   |
| Albuquerque,                New Mexico                 |   | 1,232,062        |       | —                                         |   | 1,903,970                                                           |   | —                                                                                                  |       | 351,854 |   | — |   | 2,255,824 |   |
| InnSuites                Hospitality Trust             |   |             |       |                                            |   |                                                                |   |                                                                                                     |       |   |   |   |   |   |   |
| Phoenix,                Arizona                        |   | —          |       | 7,005                                           |   | 75,662                                                              |   | —                                                                                                  |       | — |   | 7,005 |   | 75,662 |   |
|                                                   |   |             |       |                                            |   |                                                                |   |                                                                                                     |       |   |   |   |   |   |   |
|                                                   |   | $                | 19,908,877 |                                            | $      | 2,791,718                                                           |   | $                                                                                                        | 25,801,165 |   | $ | 32,802 |   | $ | 7,718,980 |   | $ | 2,824,520 |   | $ | 33,520,145 |   |

----

|                                                   |   | **Gross                Land****and                Building** |       | **Accumulated****Depreciation** |   | **Net****Book                Value****Land                and****Buildings****and                Improvements** |   | **Date                of****Construction** |       | **Date                of****Acquisition** |   | **Depreciation****in                Income****Statement                is****Computed** |   |
|--------------------------------------------------------|--------|--------------------------------------------------------------|------------|---------------------------------|--------|-----------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------|------------|-------------------------------------------|--------|-----------------------------------------------------------------------------------------|--------|
|                                                   |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| InnSuites                Hotel and Suites              |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| Tucson,                Catalina Foothills Best Western |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| Tucson,                Arizona                         |   | $                                                            | 6,431,262  |                            | $      | 1,432,164                                                                                                       |   | $                                          | 4,999,098  |                                      | 1981   |                                                                                    | 1998   |   | 5-40                years |   |
|                                                   |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| InnSuites                Hotels and Suites             |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| Yuma                                                   |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| Yuma,                Arizona                           |   | 7,764,742                                                    |       | 1,560,406                       |   | 6,204,336                                                                                                       |   | 1982                                       |       | 1998                                      |   | 5-40                years                                                               |   |
|                                                   |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| Best                Western                            |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| Airport                Ontario Hotel and Suites        |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| Ontario,                California                     |   | 8,778,512                                                    |       | 2,028,429                       |   | 6,750,083                                                                                                       |   | 1990                                       |       | 1998                                      |   | 5-40                years                                                               |   |
|                                                   |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| InnSuites                Hotels and Suites             |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| Tucson                St. Mary’s                 |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| Tucson,                Arizona                         |   | 11,031,658                                                   |       | 2,149,692                       |   | 8,881,966                                                                                                       |   | 1960                                       |       | 1998                                      |   | 5-40                years                                                               |   |
|                                                   |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| InnSuites                Hotels and Suites             |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| Albuquerque                Airport Best Western        |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| Albuquerque,                New Mexico                 |   | 2,255,824                                                    |       | 608,060                         |   | 1,647,764                                                                                                       |   | 1975                                       |       | 2000                                      |   | 5-40                years                                                               |   |
|                                                   |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| InnSuites                Hospitality Trust             |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
| Phoenix,                Arizona                        |   | 82,667                                                       |       | 4,012                           |   | 78,655                                                                                                          |   | 2004                                       |       | 2004                                      |   | 33                years                                                                 |   |
|                                                   |   |                                                         |       |                            |   |                                                                                                            |   |                                       |       |                                      |   |                                                                                    |   |
|                                                   |   | $                                                            | 36,344,665 |                            | $      | 7,782,763                                                                                                       |   | $                                          | 28,561,902 |                                      |   |                                                                                    |   |   |   |   |

----

|                                      |   | **2006**   |       | **2005**   |       |
|-------------------------------------------|--------|------------|------------|------------|------------|
| Land                                      |   | $          | 1,856,788  |       | 2,275,007  |   |
| Buildings                and improvements |   | 20,740,754 |       | 21,750,426 |       |
|                                      |   | $          | 22,597,542 |       | 24,025,433 |   |

| Balance                at January 31, 2004 |   | $           | 48,825,009 |   |
|-------------------------------------------------|--------|-------------|------------|--------|
| Sale                of Hotel Properties         |   | (11,368,505 | )          |
| Write-up                of Assets               |   | 1,192,230   |       |
| Improvement                to Hotel Properties  |   | 546,762     |       |
|                                            |   |        |       |
| Balance                at January 31, 2005 |   | $           | 39,195,496 |   |
| Sale                of Hotel Properties         |   | (3,456,490  | )          |
| Improvement                to Hotel Properties  |   | 605,659     |       |
|                                            |   |        |       |
| Balance                at January 31, 2006 |   | $           | 36,344,665 |   |

----

SCHEDULE IV

**MORTGAGES      LOANS ON REAL ESTATE**

| **Description**                                                              |   | **Interest                Rate**                       |   | **Maturity                Date** |   | **Periodic                Payment Term**                                                                   |   | **Face                Amount of Mortgages** |       | **1/31/05                Carrying Amount** |   |
|------------------------------------------------------------------------------|--------|--------------------------------------------------------|--------|----------------------------------|--------|------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------|------------|--------------------------------------------|--------|
|                                                                         |   |                                                   |   |                             |   |                                                                                                       |   |                                        |       |                                       |   |
| Mortgage                Note Secured by Albuquerque, NM property             |   | 8.875                                                  | %      | 9/1/2015                         |   | 180                monthly installments                                                                    |   | $                                           | 1,575,000  |                                       | $      | 1,232,062 |   |
| Mortgage                Note Secured by Ontario, CA property                 |   | 8.280                                                  | %      | 5/11/2011                        |   | 120                monthly installments, with balloon payment of $7,498,458 due at                maturity |   |                                        | 9,000,000  |                                       |   | 8,448,212 |   |
| Mortgage                Note Secured by Yuma, AZ property                    |   | 9.250                                                  | %      | 8/1/2011                         |   | 180                monthly installments                                                                    |   |                                        | 4,000,000  |                                       |   | 1,933,157 |   |
| Mortgage                Note Secured by Tucson St. Mary’s, AZ property |   | Prime                rate plus 1% (8.5% as of 1/31/06) |   | 7/29/2009                        |   | 83                monthly installments, with balloon payment of $3,800,488 due at                maturity  |   |                                        | 4,500,000  |                                       |   | 4,191,981 |   |
| Mortgage                Note Secured by Tucson Oracle, AZ property           |   | 8.000                                                  | %      | 5/1/2016                         |   | 180                monthly installments                                                                    |   |                                        | 5,100,000  |                                       |   | 4,103,465 |   |
|                                                                         |   |                                                   |   |                             |   |                                                                                                       |   |                                        |       |                                       |   |
|                                                                         |   |                                                   |   |                             |   |                                                                                                       |   | $                                           | 24,175,000 |                                       | $      | 19,908,877 |   |

**Mortgage      Note Reconciliation**

| Balance                at January 31, 2004 |                                                 | $          | 31,805,715 |   |
|-------------------------------------------------|------------------------------------------------------|------------|------------|--------|
|                                            |                                                 |       |       |
| Deductions                during period:        |                                                 |       |       |
|                                            | Assumed                by buyer of Tempe, AZ hotel   |       | (1,710,499 | )      |
|                                            | Principal                payments                    |       | (6,087,771 | )      |
|                                            |                                                 |       |       |
| Balance                at January 31, 2005 |                                                 | 24,007,445 |       |
|                                            |                                                 |       |       |
| Deductions                during period:        |                                                 |       |       |
|                                            | Assumed                by buyer of Phoenix, AZ hotel |       | (3,167,182 | )      |
|                                            | Principal                payments                    |       | (931,386   | )      |
|                                            |                                                 |       |       |
| Balance                at January 31, 2006 |                                                 | $          | 19,908,877 |   |

----

----

**Nominees,      Trustees and Executive Officers**

| **Name**                                                                 |   | **Principal                Occupations****During                Past Five Years,****Age                as of April 21, 2006****And                Directorships Held**                                                                                                                                                                                                                                                                                                                                                                    |   | **Trustee****Since**                 |
|--------------------------------------------------------------------------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------|
| **Nominee                Whose Term****Expires                in 2009**  |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |                                 |
|                                                                     |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |                                 |
| Marc                E. Berg(1)                                           |   | Executive                Vice President, Secretary and Treasurer of the Trust since                February 10, 1999. Vice President - Acquisitions of the Trust from                December 16, 1998 to February 10, 1999. Consultant to InnSuites                Hotels since 1989. Self-employed as a Registered Investment Advisor                since                1985. Age: 53.                                                                                                                                      |   | January 30,                1998 |
|                                                                     |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |                                 |
| **Trustees                Whose Terms****Expire                in 2007** |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |                                 |
|                                                                     |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |                                 |
| James                F. Wirth(1)                                         |   | Chairman,                President and Chief Executive Officer of the Trust since January 30,                1998. President and owner (together with his affiliates) of                Suite Hotels LLC, Rare Earth Financial L.L.C. and affiliated                entities, owners and operators of hotels, since 1980. President of                Rare                Earth Development Company, a real estate investment company owned                by                Mr. Wirth and his affiliates, since 1973. Age: 60. |   | January 30,                1998 |
|                                                                     |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |                                 |
| Peter                A. Thoma(2),(3),(4)                                 |   | Owner                and operator of A&T Verleih, Hamburg, Germany, a hospitality service                and rental company, since 1997. Age: 39.                                                                                                                                                                                                                                                                                                                                                                                          |   | April 13,                1999   |
|                                                                     |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |                                 |

----

| **Trustees                For Terms****Expiring                in 2008** |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |                              |
|--------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------|
|                                                                     |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |                              |
| Larry                Pelegrin(2),(3),(4)                                 |   | Retired                marketing executive with an extensive background in travel industry                automation systems and call center sales. Director of Sales and Marketing                of ARINC, a provider of transportation communications services, from                1994                to 2001. Previous employment included senior marketing positions                with Best                Western International and Ramada Inns. Age: 68. |   | August                25, 2005    |
|                                                                     |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |                              |
| Steven                S. Robson(2),(3),(4)                               |   | President                of Robson Communities, Inc. and Scott Homes and Scott                Multifamily, Inc., residential real estate developers, since 1979.                Age: 50.                                                                                                                                                                                                                                                                  |   | June 16,                1998 |
|                                                                     |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |                              |

----

**Other      Executive Officers**

| Anthony                B. Waters |   | Chief                Financial Officer of the Trust since February 29, 2000. Controller of                the Trust from June 17, 1999 to February 29, 2000. Accountant                and auditor with Michael Maastricht, CPA from June 16, 1998 to                June 15, 1999, performing audits for InnSuites Hotels, Inc.                Self-employed, concentrating in computerized accounting and information                systems, from 1990 to June 1998. Age:                59. |
|----------------------------------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Section 16(a) Beneficial      Ownership Reporting Compliance**

**Code      of Ethics for Senior Financial Officers**

----

**Summary      Compensation Table**

| **Name                and Principal Position** |   | **Fiscal                Year** |   | **Annual                Salary** |    | **Restricted****Stock                Awards** |   |
|------------------------------------------------|--------|--------------------------------|--------|----------------------------------|---------|-----------------------------------------------|--------|
|                                           |   |                           |   |                             |    |                                          |   |
| James                F. Wirth                  |   | 2006                           |   | $                                | 141,000 |                                          |   | — |   |   |
| President                and Chief             |   | 2005                           |   | $                                | 130,000 |                                          |   | — |   |   |
| Executive                Officer (1)           |   | 2004                           |   | $                                | 95,231  | (2)                                           |   | — |   |   |
|                                           |   |                           |   |                             |    |                                          |   |
| Anthony                B. Waters               |   | 2006                           |   | $                                | 141,000 |                                          |   | $ | 2,048 | (3) |   |
| Chief                Financial Officer         |   | 2005                           |   | $                                | 126,400 |                                          |   | $ | 3,200 | (4) |   |
|                                           |   | 2004                           |   | $                                | 126,000 |                                          |   | $ | 6,240 | (5) |   |
|                                           |   |                           |   |                             |    |                                          |   |   |   |   |

----

| (1) |   | The                terms of Mr. Wirth’s Employment Agreement are summarized below. See                “Item 13 - Certain Relationships and Related Transactions - Employment                Agreement with Mr. Wirth.”  |
|-----|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (2) |   | Although                Mr. Wirth’s annual salary for fiscal year 2004 was set at $130,000,                Mr. Wirth agreed to a salary reduction that resulted in an annual                salary of $95,231 for fiscal year 2004. |
| (3) |   | Represents                the fair market value on the date of grant of 1,600 Shares issued                to                Mr. Waters as a bonus on April 6, 2005.                                                                      |
| (4) |   | Represents                the fair market value on the date of grant of 2,000 Shares issued                to                Mr. Waters as a bonus on March 26, 2004.                                                                     |
| (5) |   | Represents                the fair market value on the date of grant of 4,800 Shares issued                to                Mr. Waters as a bonus on June 30,                2003.                                                       |

----

**Equity      Compensation Plan Information**

| **Plan                Category**                                          |   | **Number                of Securities to****be                Issued Upon Exercise****of                Outstanding Options,****Warrants                and Rights** |   | **Weighted                - Average****Exercise                Price of****Outstanding                Options,****Warrants                and Rights** |   | **Number                of Securities****Remaining****Available                for Future****Issuance                Under Equity****Compensation                Plans****(Excluding                Securities****Reflected                in Column (a))** |    |
|---------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------|
|                                                                      |   |                                                                                                                                                                 |   |                                                                                                                                                   |   |                                                                                                                                                                                                                                                             |    |
| Equity                compensation plans approved by security holders     |   | 0                                                                                                                                                                    |   | $                                                                                                                                                      | N/A    |                                                                                                                                                                                                                                                             | 477,200 |   |
|                                                                      |   |                                                                                                                                                                 |   |                                                                                                                                                   |   |                                                                                                                                                                                                                                                             |    |
| Equity                compensation plans not approved by security holders |   | None                                                                                                                                                                 |   | None                                                                                                                                                   |   | None                                                                                                                                                                                                                                                             |    |

**Five      Percent Beneficial Owners and**

**Beneficial      Ownership of Trustees, Nominees and Executive Officers**

| **Name**                                                                         |   | **Shares****Beneficially                Owned** |   | **Percentage                of Outstanding Shares** |   |
|----------------------------------------------------------------------------------|--------|-------------------------------------------------|--------|-----------------------------------------------------|--------|
|                                                                             |   |                                            |   |                                                |   |
| **Trustees,                Nominees and Executive Officers**                     |   |                                            |   |                                                |   |
|                                                                             |   |                                            |   |                                                |   |
| James                F. Wirth (1)                                                |   | 5,573,624                                       |   | 60.1%                                               |   |
| Marc                E. Berg                                                      |   | 60,225                                          |   | *                                                   |   |
| Steven                S. Robson                                                  |   | 212,723                                         |   | 2.3%                                                |   |
| Peter                A. Thoma                                                    |   | 57,900                                          |   | *                                                   |   |
| Larry                Pelegrin                                                    |   | 19,870                                          |   | *                                                   |   |
| Anthony                B. Waters                                                 |   | 23,000                                          |   | *                                                   |   |
|                                                                             |   |                                            |   |                                                |   |
| Trustees,                Nominees and Executive Officers as a group (sixpersons) |   | 5,947,342                                       |   | 64.2%                                               |   |

----

----

**Employment      Agreement with Mr. Wirth**

**Sale      of Phoenix, Arizona Property**

**Related      Party Loans and Advances to the Trust**

|                                                                                                                                                                                                                                                                                                                                                                                                                          |   | **2006** |    | **2005** |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------|---------|----------|--------|
|                                                                                                                                                                                                                                                                                                                                                                                                                          |   |     |    |     |   |
| Note                payable to Rare Earth Financial, LLC, an affiliate of Mr. Wirth,                unsecured                and bearing interest at 7% per annum. Due in one installment of accrued                interest and unpaid principal on April 15, 2006.                                                                                                                                                          |   | $        | 400,000 |     | $      | — |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                          |   |     |    |     |   |
| Note                payable to the Anderson Charitable Remainder Unitrust, an affiliate                of                Mason Anderson, former Trustee of the Trust, bearing interest at                7% per                annum, and secured by Shares of Beneficial Interest in the Trust.                Due in                monthly principal and interest payments of $1,365 through November                2009. |   | 54,929   |    | —  |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                          |   |     |    |     |   |
| Note                payable to Wayne Anderson, son of Mason Anderson, former Trustee                of the                Trust, bearing interest at 7% per annum, and secured by Shares of                Beneficial Interest in the Trust. Due in monthly principal and interest                payments of $574 through June 2009.                                                                                    |   | 20,886   |    | 26,114   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                          |   |     |    |     |   |
| Note                payable to Karen Anderson, daughter of Mason Anderson, former Trustee                of                the Trust, bearing interest at 7% per annum, and secured by Shares                of                Beneficial Interest in the Trust. Due in monthly principal and interest                payments of $574 through June 2009.                                                                |   | 20,886   |    | 26,115   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                          |   |     |    |     |   |
| Note                payable to Kathy Anderson, daughter of Mason Anderson, former Trustee                of                the Trust, bearing interest at 7% per annum, and secured by Shares                of                Beneficial Interest in the Trust. Due in monthly principal and interest                payments of $495 through June 2009.                                                                |   | 18,005   |    | 22,512   |   |

|                                                                                                                                                                                                                                      |   |    |    |   |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------|---------|--------|--------|
| Note                payable to The Anderson Charitable Remainder Unitrust, an affiliate                of                Mason Anderson, former Trustee of the Trust. Paid in full during                fiscal                year 2006. |   | — |    | 18,771 |   |
|                                                                                                                                                                                                                                      |   |    |    |   |   |
| Totals                                                                                                                                                                                                                                    |   | $       | 514,706 |   | $      | 93,512 |   |

----

**Sales        and Project Coordination Agreement**

----

**Audit      Fees**

**Audit-Related      Fees**

**Tax      Fees**

**All      Other Fees**

----

|   | Financial                Statements/Schedules of InnSuites Hospitality Trust |                                                                                                                                                   |
|--------|-----------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                              |                                                                                                                                                   |
|   |                                                                              |                                                                                                                                                   |   |
|   | 1.                                                                                | Reports                of Independent Registered Public Accountants                                                                                    | 26 |
|   | 2.                                                                                | Consolidated                Balance Sheets at January 31, 2006 and 2005                                                                           | 30 |
|   | 3.                                                                                | Consolidated                Statements of Operations for the years ended January 31, 2006, 2005                and 2004                           |  31 |
|   | 4.                                                                                | Consolidated                Statements of Shareholders’ (Deficit) Equity for the years ended                January 31, 2006, 2005 and 2004 |  33 |
|   | 5.                                                                                | Consolidated                Statements of Cash Flows for the years ended January 31, 2006, 2005                and 2004                           |  34 |
|   | 6.                                                                                | Notes                to Consolidated Financial Statements for the years ended January 31,                2006, 2005 and 2004                      |  35 |
|   | 7.                                                                                | Schedule III                - Real Estate and Accumulated Depreciation                                                                            | 50 |
|   | 8.                                                                                | Schedule IV                - Mortgage Loans on Real Estate                                                                                        | 53 |

| (a)(3) |   | Exhibit List |
|--------|--------|-------------------|

| **Exhibit No.** |   | **Exhibit**                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|----------------------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 3.1                  |   | Second                Amended and Restated Declaration of Trust of InnSuites Hospitality                Trust                dated June 16, 1998, as further amended on July 12, 1999                (incorporated by reference to Exhibit 3.1 of the Registrant’s Annual                Report on Form 10-K for the fiscal year ended January 31, 2005 filed                with                the Securities and Exchange Commission on May 16,                2005). |
|                 |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 10.1                 |   | First                Amended and Restated Agreement of Limited Partnership of RRF Limited                Partnership dated January 31, 1998 (incorporated by reference to                Exhibit 10.1 of the Registrant’s Registration Statement on                Form S-2, filed with the Securities and Exchange Commission on                September 8, 1998).                                                                                           |
|                 |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 10.2*                |   | Employment                Agreement dated as of January 31, 1998, between InnSuites Hospitality                Trust and James F. Wirth (incorporated by reference to Exhibit 10.2                of the                Registrant’s Annual Report on Form 10-K for the fiscal year ended January                31, 2005 filed with the Securities and Exchange Commission on May                16,                2005).                                                   |
|                 |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 10.3*                |   | Form                of Indemnification Agreement between InnSuites Hospitality Trust                and each                Trustee and executive officer.                                                                                                                                                                                                                                                                                                                               |
|                 |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 10.4                 |   | Promissory                Note dated October 14, 2005 by RRF Limited Partnership in favor of                Rare Earth Financial, L.L.C. (incorporated by reference to Exhibit                10.1 of                the Registrant’s Quarterly Report on Form 10-Q for the quarterly period                ended October 31, 2005 filed with the Securities and Exchange Commission                on December 6, 2005).                                                     |
|                 |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 10.5                 |   | Promissory                Note dated March 1, 2006 by RRF Limited Partnership in favor of Rare                Earth                Financial, L.L.C.                                                                                                                                                                                                                                                                                                                                     |
|                 |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 10.6                 |   | Sales                and Project Coordination Agreement dated March 1, 2006 between Rare                Earth                Development Company and InnSuites Hospitality                Trust.                                                                                                                                                                                                                                                                                         |

----

|   |   |                                                                                                                                                                                                                                                                                                                                                        |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 14     |   | Code                of Ethics for Senior Financial Officers (incorporated by reference                to                Exhibit 14 of the Registrant’s Annual Report on Form 10-K for                the fiscal year ended January 31, 2004, filed with the Securities and                Exchange Commission on April 30, 2004). |
|   |   |                                                                                                                                                                                                                                                                                                                                                        |
| 21     |   | Subsidiaries                of the Registrant.                                                                                                                                                                                                                                                                                                              |
|   |   |                                                                                                                                                                                                                                                                                                                                                        |
| 31.1   |   | Certification                of Chief Executive Officer pursuant to Section 302 of the                Sarbanes-Oxley Act of 2002.                                                                                                                                                                                                                      |
|   |   |                                                                                                                                                                                                                                                                                                                                                        |
| 31.2   |   | Certification                of Chief Financial Officer pursuant to Section 302 of the                Sarbanes-Oxley Act of 2002.                                                                                                                                                                                                                      |
|   |   |                                                                                                                                                                                                                                                                                                                                                        |
| 32.1   |   | Certification                of Chief Executive Officer required by Section 906 of the                Sarbanes-Oxley Act of 2002.                                                                                                                                                                                                                      |
|   |   |                                                                                                                                                                                                                                                                                                                                                        |
| 32.2   |   | Certification                of Chief Financial Officer required by Section 906 of the                Sarbanes-Oxley Act of 2002.                                                                                                                                                                                                                      |

----

----

|                                             | INNSUITES                HOSPITALITY TRUST |
|--------------------------------------------------|--------------------------------------------|
|                                             |                                       |
|                                             |                                       |
| Dated:                May                1, 2006 | By:                                        | /s/                James F. Wirth |
|                                             |                                       | James                F. Wirth, Chairman,President                and Chief Executive Officer(Principal                Executive Officer) |
|                                             |                                       |   |
|                                             |                                       |   |
| Dated:                May 1, 2006                | By:                                        | /s/                Anthony B. Waters |
|                                             |                                       | Anthony                B. Waters, Chief Financial Officer(Principal                Financial Officer) |

| Dated:                May 1, 2006 | By:    | /s/                James F. Wirth                                                                                                       |
|-----------------------------------|--------|-----------------------------------------------------------------------------------------------------------------------------------------|
|                              |   | James                F. Wirth, ChairmanPresident                and Chief Executive Officer(Principal                Executive Officer) |
|                              |   |                                                                                                                                    |
|                              |   |                                                                                                                                    |
| Dated:                May 1, 2006 | By:    | /s/                Anthony B. Waters                                                                                                    |
|                              |   | Anthony                B. Waters, Chief Financial Officer(Principal                Financial Officer)                                   |
|                              |   |                                                                                                                                    |
|                              |   |                                                                                                                                    |
| Dated:                May 1, 2006 | By:    | /s/                Marc E. Berg                                                                                                         |
|                              |   | Marc                E. Berg, Trustee                                                                                                    |
|                              |   |                                                                                                                                    |
|                              |   |                                                                                                                                    |
| Dated:                May 1, 2006 | By:    | /s/                Steven S. Robson                                                                                                     |
|                              |   | Steven                S. Robson, Trustee                                                                                                |
|                              |   |                                                                                                                                    |
|                              |   |                                                                                                                                    |
| Dated:                May 1, 2006 | By:    | /s/                Peter A. Thoma                                                                                                       |
|                              |   | Peter                A. Thoma, Trustee                                                                                                  |
|                              |   |                                                                                                                                    |
|                              |   |                                                                                                                                    |
| Dated:                May 1, 2006 | By:    | /s/                Larry Pelegrin                                                                                                       |
|                              |   | Larry                Pelegrin, Trustee                                                                                                  |