Reykjavík, Iceland
The 10 best boutique and luxury hotels in Reykjavík, Iceland
Reykjavík’s most stylish and personal hotel stays
Ask a dozen people about their favourite hotel, and you’ll likely get a dozen different responses. A favourite hotel is as much of a personal preference as your favourite movie, book or singer. But in our opinion, the best hotels have a few things in common: they feel intimate and personal (regardless of size or number of rooms), they have a distinctive vibe, the staff offers superb service and the architecture and interior design are unique and full of character. We love them even more when they are deeply ingrained in the local neighbourhood and culture. Here’s our list of carefully crafted Reykjavík boutique and luxury hotels that tell a strong story.
Overview: Reykjavík’s top 10 hotels
What are the best areas to stay in Reykjavík?
Reykjavík, the capital of Iceland, offers a mosaic of distinct neighbourhoods, each with its unique flavour and atmosphere. Here are our favourite Reykjavík areas – and why each holds a special place in our hearts.
Miðborg – the vibrant heart
In the heart of the city, Miðborg, also known as the City Centre (postal code 101), is our go-to when we crave the excitement of Reykjavík’s vibrant urban life. Walking through its bustling streets, we’re often swept away by the harmonious blend of historic charm and contemporary buzz. The eclectic shops and eateries, against a backdrop of colourful buildings and ocean views, make every visit feel like a new discovery. Postal codes, like 101 for Miðborg, are crucial for navigation and understanding the layout of the city.
Laugardalur – family fun and nature
Whenever we need a day filled with joy and nature, we head to Laugardalur, also known as the Valley of Pools (postal code 104). It’s our escape within the city, where we can unwind in the botanical gardens or rejuvenate in the geothermal pools. This area’s blend of city life and nature’s tranquillity offers a playground for both young and old.
Hlíðar – quiet residential charm
Hlíðar, known as the Heights (postal code 105), offers us a peaceful retreat from the downtown noise. It’s where we find solace in its quiet, leafy streets and enjoy the simple pleasure of a leisurely stroll. Each visit feels like stepping into a tranquil suburban dream, where the pace slows and life simplifies.
Háaleiti – modern suburbia
Our penchant for modern comforts brings us to Háaleiti, known as the Highlands (postal code 108). With its contemporary architecture and spacious layout, it’s where we feel at home amidst the city’s rhythm. Shopping at Kringlan gives us a taste of Reykjavík’s modern retail scene, blending the convenience of city life with suburban calm.
Vesturbær – quaint and historical
Vesturbær, also known as West Town (postal code 107), charms us with its historical allure. Each walk along the old waterfront is a journey through time, where the sea whispers tales of the past. This neighbourhood is a reminder of the city’s rich history and our connection to it, providing a quaint, reflective backdrop to our stay in Reykjavík.
01
The Reykjavík Edition
Hotel brand The Edition, founded by Ian Schrager who is credited for co-creating the concept of the boutique hotel back in the 1980s, has finally arrived in the Nordics. Located in the old harbour, The Reykjavík Edition captures the unique, individualistic and cool spirit of Iceland, and is brought to life by interior design studio Roman and Williams. While rooms are designed as cosy little sanctuaries to retreat to, the hotel’s restaurants and bars contribute to heating up the Icelandic capital’s already hoppin’ nightlife scene even more.
Read the full article on The Reykjavík Edition.
The Reykjavík Edition
Austurbakki 2
Reykjavík
Iceland
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Photography courtesy of The Reykjavík Edition
02
Grandi by Center Hotels
Grandi by Center Hotels offers a contemporary home-away-from-home in Reykjavik’s creative quarter, situated in a former steel house that combines modern architecture and industrial chic. Enjoy lunch or dinner at Héðinn, an elegantly designed restaurant offering Icelandic and international cuisine made with high-quality seasonal ingredients. Héðinn was shortlisted in the 2022 Restaurant & Bar Design Awards.
Grandi by Center Hotels
Seljavegur 2
Reykjavík
Iceland
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Photography courtesy of Grandi by Center Hotels
03
101 Hotel
101 Hotel, named after its downtown postal code, is located in an austere 1930s concrete building a hop and a skip from Reykjavík’s harbour. The city’s first boutique hotel, founded by entrepreneur and interior designer Ingibjörg S. Pálmadóttir, still holds its own with its minimalist, monochrome decor that easily could be mistaken for that of a sleek art gallery.
Read the full article on 101 Hotel.
101 Hotel
Hverfisgata 10
Reykjavík
Iceland
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Photography courtesy of 101 Hotel
04
Canopy by Hilton
From drinking water naturally filtered by Icelandic lava, to in-room music boxes that play Icelandic lullabies, this hotel oozes Reykjavik charm. Guests are welcomed with a locally inspired keepsake at check-in, introducing them to a space that is simultaneously wholly Icelandic and in keeping with Canopy by Hilton’s adventurous aesthetic. Chef Jóhannes Steinn Jóhannesson’s ever-changing menu is influenced by the offerings of local farmers and fishermen at Geiri Smart restaurant.
Canopy by Hilton
Smiðjustígur 4
Reykjavík
Iceland
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Photography courtesy of Canopy by Hilton
05
Apótek Hotel
Apótek Hotel was once the city’s main pharmacy, and it has been central to city life for over a century. In fact, it was the first large building in Reykjavik, and the downtown area grew around it. Today the city buzz continues to revolve around its classy facade and elegant corner entrance. Combining rich period details with a contemporary and monochrome look, Apótek welcomes guests to the vibrant heart of the city.
Apótek Hotel
Austurstræti 16
Reykjavík
Iceland
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Photography courtesy of Apótek Hotel
06
Ion City Hotel
While Ion City Hotel might not be quite as adventurous and outdoorsy as its sister property Ion Adventure Hotel, it remains firmly grounded in the Icelandic way of life. Founded by hotelier Sigurlaug Sverrisdóttir and designed by Erla Dögg Ingjaldsdóttir and Tryggvi Thorsteinsson of award-winning local studio Minarc, this centrally located hotel is a sleek and modern base from which to explore Reykjavík – and has a couple of tricks up its sleeve to make us want to come back for more.
Read the full article on Ion City Hotel.
Ion City Hotel
Laugavegur 28
Reykjavík
Iceland
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Photography courtesy of Ion City Hotel
07
Kvosin Downtown Hotel
In a historic building dating back to the late 19th century, this small and charming boutique hotel with 24 boutique apartments enjoys a prime downtown location. This hotel has been renovated by local designers Haf Studio and Einar Geir Ingvarsson, who have given it a modern Scandinavian look with minimal furnishings and documentary-style photos of local life. The hotel’s Aldamót bar, a popular hangout among locals, serves fine drinks, light dishes, and wine.
Kvosin Downtown Hotel
Kirkjutorg
Reykjavík
Iceland
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Photography courtesy of Kvosin Downtown Hotel
08
Exeter Hotel
This limited-service 106-room hotel bucks the trend with its loft-style interiors and unfussy, urban vibe in a city not known for its edgy design. With its industrial-chic aesthetic, Exeter Hotel stands out from other Reykjavik hotels and draws a younger, funkier crowd. The result is simple, clean design done inexpensively but well, with a look and feel that’s suitably Scandinavian. The hotel’s Old Harbour location puts it close to key attractions, while its lively bar – popular with locals – ensures an upbeat atmosphere.
Exeter Hotel
Tryggvagata 12
Reykjavík
Iceland
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Photography courtesy of Exeter Hotel
09
Center Hotels Laugavegur
This ultramodern frill-free hotel is a top choice for exploring Iceland’s capital. Center Hotels Laugavegur reflects the spirit of Reykjavik – the quirky, metropolitan vibe that makes this city so distinctive comes alive throughout the building. However, you can pop down to the hostel’s nature-inspired eatery, Lóa, If you fancy a bite to eat or a drink without having to head out. It’s named after the bird that marks the start of spring, and serves a blend of Icelandic and international dishes, as well as a breakfast buffet.
Center Hotels Laugavegur
Laugavegur 95-99
Reykjavík
Iceland
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Photography courtesy of Center Hotels Laugavegur
10
Tower Suites Reykjavík
Tower Suites Reykjavik is a private residence in Iceland suited for individuals seeking a luxurious lifestyle. The eight trendy penthouse apartments are located in central Reykjavik on the 20th level of a modern glass tower and provide panoramic views of the city or the ocean. Each accommodation includes floor-to-ceiling windows, a free minibar and Nespresso coffee machine, and – undoubtedly our favourite feature – a periscope.
Tower Suites Reykjavík
Katrínartún 2
Reykjavík
Iceland
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Photography courtesy of Tower Suites Reykjavík
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