The Best Hotels in Reykjavík

Sitting in a former furniture factory, Canopy by Hilton pays tribute to its past with custom-built furnishings
Sitting in a former furniture factory, Canopy by Hilton pays tribute to its past with custom-built furnishings | © Canopy by Hilton Reykjavík City Centre
Photo of James Taylor
1 September 2021

Explore glacier-capped mountains, thundering waterfalls and active volcanoes from these top hotels in the capital of Iceland – all bookable with Culture Trip.

The colourful, eclectic city of Reykjavík is jam-packed with upmarket Nordic-design hotels and trendy hostels. But head out a little further and you can explore the Golden Circle or hunt for the Northern Lights. Need a place to stay? Read on to discover the finest hotels in the city.

You can now book your exciting getaway with us – our five-day, small-group Iceland tour is perfect for exploring the best of the country, from incredible natural landscapes to tasty foodie experiences.

Freyja Guesthouse & Suites

Guesthouse, Apartment, Bed and Breakfast
Freyja Guesthouse & Suites
Courtesy of Freyja Guesthouse and Suites / Expedia.com
This family-run guesthouse has a homely feel and a stellar location, positioned beside Hallgrímskirkja cathedral in the city centre. It’s a great choice for self-catering (rooms come with fully equipped kitchens) but a continental breakfast is also available. The style verges on the boutique, with walls painted taupe and teal, gilded mirrors and L’Occitane bath products. A family studio (sleeping up to four) is also available.
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Kvosin Downtown Hotel

Boutique Hotel
Kvosin Downtown Hotel
Courtesy of Kvosin Downtown Hotel / Expedia.com
There’s a luxury feel to this centrally located hotel, right next to Austurvöllur park and the Icelandic parliament. Expect plush bedding, thick blackout curtains and smart bathrooms with organic, local toiletries. Choose from four room sizes – ranging from cosy doubles to family-friendly boltholes that feature kitchenettes and sleep up to six. There’s also a top-floor apartment with two bedrooms, a spacious living area and great city views.
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Reykjavik Residence Hotel

Hotel
Reykjavik Residence Hotel
Courtesy of Reykjavik Residence Hotel / Expedia.com
In downtown Reykjavik, this stylish apartment hotel offers the perfect blend of freedom and hotel comforts. Each apartment has a kitchen, but you can also head downstairs to the chic Port 9 restaurant or grab a breakfast basket crammed with fruit, veggies, cheese and yoghurts. Budget travellers can go for an economy studio. Alternatively, splash out on a suite – they have extra space, and some have PlayStations and/or corner bathtubs.
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Alda Hotel Reykjavik

Hotel
Alda Hotel Reykjavik
Courtesy of Alda Hotel Reykjavik / Expedia.com
This hotel offers a calm atmosphere despite being located on the main shopping street in Reykjavik, Laugavegur. Ease aching muscles in the sauna, or look for the Northern Lights while soaking in the outdoor hot tub. There’s a restaurant serving breakfast, lunch and dinner, an on-site barber and you can even borrow a hotel smartphone during your stay. The nine room categories range from economy doubles to king suites.
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Reykjavik Konsúlat Hotel

Hotel
Deluxe room at Konsulat Hotel
Courtesy of Reykjavík Konsúlat Hotel / Hotels.com

The Konsúlat Hotel was once home to the first department store in the city, built by prominent Reykjavík character Ditlev Thomsen. Inside the impressive three-storey building, rooms are decked in warm hues and feature mid-century furniture such as chesterfield sofas and vintage desks. The hotel restaurant, GOTT Reykjavík, serves contemporary Icelandic cuisine in a minimalist yet sophisticated setting.

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Hotel Borg by Keahotels

Chain Hotel, Spa Hotel
Hotel Borg by Keahotels
Courtesy of Hotel Borg by Keahotels / Expedia.com

The first luxury hotel in Iceland has long cemented its place among the architectural landmarks of Reykjavík – facing the pleasant Austurvöllur Square, Icelandic parliament and cathedral. Expect royal treatment at this luxury, art deco hotel – which has previously accommodated celebrities, such as Yoko Ono and Lady Gaga. The spa is a real highlight here – warm up in the hot tub, steam bath and sauna after a cold day of sightseeing.

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  • Reykjavík Lights by Keahotels

    Hotel
    Double room at Reykjavik Lights by Keahotels
    Courtesy of Reykjavík Lights by Keahotels / Hotels.com

    Centrally located, Reykjavík Lights is a Nordic-style hotel with bright rooms decorated in Scandinavian style. The hotel aims to reflect everyday life in Iceland with colourful rooms that represent specific days in the country’s ancient calendar. A complimentary breakfast is included with your stay. Reykjavík Lights is the ideal place for first-time visitors looking to get the most out of their visit as it offers many tours.

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    Canopy by Hilton Reykjavík City Centre

    Budget Hotel, Chain Hotel
    Guest room at Canopy by Hilton Reykjavik City Centre
    Courtesy of Canopy by Hilton Reykjavík City Centre / Hotels.com

    Right in the middle of downtown Reykjavík is the Canopy by Hilton, a self-billed lifestyle hotel. Spanning six buildings that used to house the most well-known furniture factory in the city, it was more recently home to the nightclub and live music venue, Faktory. Large, contemporary suites pay homage to the building’s past with custom-made furniture and local artwork. Visit the self-service cafe in the lobby for breakfast, or stop by the connected Geiri Smart Restaurant, one of the finest places to eat in Reykjavík.

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    101 Hotel

    Boutique Hotel, Spa Hotel
    101 Hotel
    Courtesy of 101 Hotel / Expedia.com

    A member of the Design Hotels group, 101 Hotel is a luxury insight into the world of Icelandic fashion and design. Sleek and modern with black-and-white minimalist tones throughout, the entire hotel feels like a work of art. The latest pieces from both established and up-and-coming local artists are on display, plus there’s a stylish lounge bar for a late-night tipple. As it’s just a block from Laugavegur shopping street, it’s no wonder Kim Kardashian and Kanye West chose this as the place to stay on their Icelandic getaway.

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    Icelandair Hotel Reykjavík Marina

    Hotel
    Icelandair Hotel Reykjavík Marina
    Courtesy of Icelandair Hotel Reykjavík Marina / Expedia.com

    Right next to the working harbour of Reykjavík at the edge of downtown, the Icelandair Hotel celebrates the city’s colourful and creative side. The interior features eye-catching furniture, striking wallpaper and plenty of antiques picked up at the nearby Kolaportið flea market. It’s also a champion of local culture, regularly hosting live music gigs and pop-up concerts, as well as literature events at the in-house cafe. Head for drinks at the neighbouring Slippbarinn – the cocktails are the best in Reykjavík.

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    Eyja Guldsmeden Hotel

    Hotel
    Deluxe double room at Eyja Guldsmeden Hotel
    Courtesy of Eyja Guldsmeden Hotel / Hotels.com

    Just outside the city centre, in the quickly gentrifying 105 neighbourhood, is the Reykjavík branch of the Guldsmeden hotel chain. It’s cheaper than your average hotel in the country, and the bright rooms feature rustic four-poster beds designed with a Balinese twist. The large restaurant is all about organic, fresh ingredients. Eyja Guldsmeden was also the first hotel in the country to be awarded Green Globe certification, recognising its commitment to sustainability.

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    Hotel Kriunes

    Hotel
    Hotel Kriunes
    Courtesy of Hotel Kriunes / Expedia.com

    Overlooking Elliðavatn Lake, and just 15 minutes from downtown, this family-run hotel is perfect for those looking to experience both the natural beauty of Iceland and the city of Reykjavík. The lake is teeming with birdlife in the summer and there are plenty of walking and biking trails that delve into the surrounding parkland. Elegantly furnished rooms are complemented by homely common areas decorated with bookshelves and comfortable lounge chairs. Unobstructed mountain views and minimal light pollution make Hotel Kriunes the ideal place for watching the Northern Lights during the winter months.

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    Ellie Ross and Camille Buckley contributed additional reporting to this article.

    These recommendations were updated on September 1, 2021 to keep your travel plans fresh.

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