I've worked on the Olympics since Barcelona and it does attract vistors to that city and nearby tourist attractions. After the Salt Lake City Olympics, I noticed a lot of people visiting Las Vegas that had gone to the winter Olympics, and in Sydney, people took advantage of just being in AUS to travel around that continent. Turin, being in Italy which is a huge tourist attraction, I'd bet that all the major cities, especially near Turin and Milan will see an increase in tourism for that time of year.

Twice I have stayed in Varese in a wonderful small family run hotel called Hotel Ungheria. Having a rental car I have never had to use public transportation, but the drive to the airport was easy. This year we will stay in Verbania on the western side of the lake. It will be a bit more of a drive to Malpensa. But we are early risers.

Thanks for the input. I have decided on taking the advice of many of you and stay in Milan. Any other hotel recommendations? Thanks so much.