My Favorite Hotels
• Best Hotel: Canopy
• Boutique Hotel: Sand Hotel
• Cheap Hotel: Klettur
• Family Hotel: Residence Apartments
• Near Blue Lagoon: Northern Light Inn
• Near Keflavik Airport: Aurora
Laugavegur is Reykjavik’s main shopping street. Many hotels are located on it or just steps away.
My family and I at the Blue Lagoon, 20 miles outside of Reykjavik.
Reykjavik Hotels – My Advice
- Laugavegur street is the pedestrian-only shopping street that runs through downtown Reykjavik. If you stay within a 5-minute walk of Laugavegur then you’ll be well-placed for shopping, dining, nightlife, and sightseeing.
- For most visitors June to early September is the best time to visit Iceland though this can vary if you’re interested in whale watching or seeing the Northern Lights.
- Booking.com – the best website for booking hotels in Reykjavik and Iceland.
- Best Luxury Hotel in Reykjavik: Canopy by Hilton City Centre
- Best Boutique Hotel in Reykjavik: Sand Hotel
- Best Reykjavik Hotels for Families: Residence Apartment • Icelandair Marina • Ódinsvé
The 21 Best Hotels in Reykjavik
1. Canopy by Hilton
Hotel Phone: +354 528 7000
Just around the corner from Laugavegur street and a short stroll away from the museums, harbor, and cathedral, this top-notch hotel offers contemporary rooms and suites with fancy art, breakfast, espresso machines, and mini-fridges. Historic heritage rooms have been carefully restored, suites add living areas, and loft suites are the most spacious. There’s a library, complimentary bicycles, Iceland’s famous Omnom chocolate, and water filtered by Icelandic lava.
2. Borg
Hotel Phone: +354 551 1440
Luxe, historic hotel in the heart of downtown Reykjavik overlooking Austurvöllur Square and offering beautiful, Art Deco style rooms, suites, and one 2-story tower suite. Rooms feature parquet flooring, custom-made furnishings, armories, vintage paintings, large tubs, marble floors. Suites add seating areas. Within walking distance to main shopping streets and top sights.
3. The EDITION
Hotel Phone: +354 582 0000
Fresh and beautiful 5-star hotel right on the Reykjavik Harbour with mountain views. Rooms are bright and cozy, with warm wooden built-ins, clean design, and floor-to-ceiling windows; many have private water-view terraces. 5 stylish in-hotel dining and drinking options range from casual to Michelin-adjacent, and include a rooftop bar with 360° city, mountain, and ocean views. The hotel also features a gym and free bike rental, but the scenic location and excellent service put it over the top.
4. Sand Hotel
Hotel Phone: +354 519 8090
This smartly-appointed boutique hotel in the heart of Reykjavik marries stylish contemporary design with historic credentials. Guest rooms sleep 2-4, with elegant modern decor and top-notch extras like in-room Nespresso, heated floors, Marshall Bluetooth speakers, and even a complimentary mobile phone for local use. Top it all off with in-hotel bar/lounge and great complimentary breakfast. Located above a popular century-old bakery on the famous Laugavvegur shopping street, surrounded by some of the city’s best eateries.
5. Apótek
Hotel Phone: +354 512 9000
Centrally located, 4-star, Art Nouveau style, boutique hotel having chic rooms and suites with parquet veneered floors, mini-bars and writing desks. Deluxe rooms & suites look out over Austurvöllur square (best views) and suites add seating areas. Has one 3-floor tower suite. Plenty of museums, galleries, restaurants and shopping all around.
6. Alda
Hotel Phone: +354 553 9366
Enjoying a brilliant location on Laugavegur (Reykjavik’s main shopping street) within walking distance of the harbor and Hallgrimskirkja church, this trendy hotel offers simple, modern rooms and suites with tea/coffee making facilities. Deluxe rooms have mountain/ocean views, attic rooms add balconies, and suites have both living areas & balconies. Offers a smartphone in rooms that’s free to use locally around the city.
7. Holt
Hotel Phone: +354 552 5700
A 5-minute stroll from the main shopping street & Tjornin lake, this is a 4-star, boutique hotel with bright rooms & suites, adorned with the works of Icelandic master artists (Iceland’s largest private collection). Rooms have work desks, mini-bars and suites add living areas with pull-out sofabeds. Has a famous fine-dining restaurant and an extensive wine cellar. (Note: the interior of the hotel is much more impressive than the uninspiring exterior.)
8. Ion City Hotel
Hotel Phone: +354 578 3730
Super sleek 4-star design hotel on Laugavvegur shopping street. Design and décor merges modern a modern sensibility with natural details like warm wood paneling, natural fibers, and Icelandic lava stones. Guest rooms feature high-end amenities, tech, and textiles. All suites have private en-suite saunas; the Panorama Suite features a separate living/dining/bar area, in-room view tub, and incredible views of Reykjavik city center and the bay.
9. Centrum
Hotel Phone: +354 514 6000
Comfortable, modern hotel on one of Reykjavik’s oldest streets. Contemporary styled rooms sleep 2-4; Junior Suites are split over two levels and feature sleeping lofts and private balconies. There’s an on-site history museum, attached bar/café, and great daily breakfast. Super convenient central location, walkable to bars, restaurants, shops, attractions, and Bus Stop #1.
10. Kvosin Downtown
Hotel Phone: +354 571 4421
Charming, boutique, 19th-century hotel with modern Scandinavian decor located in the downtown area near City Hall, steps away from cafes, museums, bars, and attractions. Offers spacious suites with Icelandic art, free Wifi, large private balconies (some), Nespresso coffee machines, refrigerators, and full kitchenettes. Top-of-the-line Mountain suites have 2 balconies overlooking Reykjavík, a massive living area and a second bedroom with bunk beds. The bar has a unique, eclectic selection of wines, whiskeys, and gins.
11. Skuggi
Hotel Phone: +354 590 7000
Slightly off the main strip but within easy walking distance of the central sights, this modern hotel offers minimalistic rooms (single, double & superior) with complimentary underground parking, breakfast, free wifi, coffee & tea making facilities, writing desks, and parquet floors. Laugavegur street with its shopping, cafes, and restaurants is a short walk away.
12. Radisson Blu 1919
Hotel Phone: +354 599 1000
Straightforward and stylish 4-star hotel in the historic 101 District near Reykjavík Harbour. 88 spacious guest rooms and suites sleep 2-3 and feature cozy Scandinavian design plus high-end details like herringbone wood flooring, Nespresso machines, and rainfall shower heads. A 24-hour fitness center, upscale seafood restaurant, and lobby café are all on site – and there’s a great breakfast buffet, too. It’s located opposite the city’s historic hot dog kiosk which stays open to 5am on most nights, so if night noise bothers you then it’s not the best choice.
13. Black Pearl Apartment
Hotel Phone: +354 527 9600
High-end aparthotel, offering spotless, sleek suites with free wifi, sofabeds, sitting areas, full kitchens, blackout curtains, Nespresso coffee machines, heated marble floors. Deluxe suites add private lifts, washing machines & large terraces. Has spacious 2-bedroom deluxe suites and a penthouse suite (2 deluxe suites) with an iMac in the bedroom. The harbor, city center & main shopping areas are an easy walk away.
14. Odinsve
Hotel Phone: +354 511 6200
Four-star boutique hotel with tasteful interiors, that’s steps away from the National Theater and Reykjavik’s two main shopping streets. Has minimalist rooms & suites and more luxurious apartments, all fitted with hardwood floors and fast wifi. Has bi-level Junior Suites with sitting areas & great top floor views while apartments have their own kitchen. And there’s an award-winning on-site restaurant (my favorite place to eat in Reykjavik).
15. 101
Hotel Phone: +354 580 0101
Sleek and sophisticated, 101’s guest rooms all sleep 2 and feature crisp, modern decor in a stylish black-and-white palette and first class amenities like Aveda toiletries and Bang & Olufsen speakers. Suites add excellent city or harbor views and private balconies. There’s a restaurant and cozy bar on site, as well as a fitness center and spa. Well located for exploring the city, just next to the PM’s office and Bus Stop #6 (House of Collections Museum).
16. Icelandair Marina
Hotel Phone: +354 560 8000
Whimsically styled with maritime elements, this hotel on the harbor (where the whale tours depart from) has vibrant rooms, studios, and suites with designer furnishings, colorful knick-knacks, quirky fixtures, and ocean/mountain/marina views. Smallish rooms, but the design compensates. Attic rooms have private balconies. The Maritime Museum is a 5-minute walk away and plenty of funky cafes, shops & galleries are in the area.
17. City Center Hotel
Hotel Phone: +354 571 1400
Super central 3-star boutique hotel in the 101 District. 30 newly-renovated rooms are spread over 6 floors here, boasting large windows, hardwood floors, and new bathrooms. Upper-floor Superior Rooms are quieter and offer great views – some add private balconies. Great location for restaurants, nightlife, and downtown attractions, with Bus Stop #1 a 4-minute walk away.
18. Von
Hotel Phone: +354 790 8881
Simple and centrally-located hotel with a neutral, warm, modern style. Guest rooms tend toward the small side, but are thoughtfully laid-out with comfortable beds and great bathrooms. No restaurant or bar on site, but there are plenty of good options within walking distance and complimentary coffee in the lobby lounge. A dependable choice for a comfortable, no-frills stay.
19. Phoenix
Hotel Phone: +354 511 5002
Lovely traditional inn with 9 individually designed rooms, all with attached bath. Décor is classical and charming, with carved-wood furnishings and comfortable beds. Complimentary daily breakfast. This quiet oasis is conveniently located on Reykjavik’s main street, Laugavegur, but somewhat removed from main shopping and nightlife area.
20. Leifur Eriksson
Hotel Phone: +354 562 0800
Good value family-run hotel across the street from the famous Hallgrimskirkja church. Its 47 single and double rooms across two buildings are small but stylish and clean, with south-facing rooms featuring terrific church views. There’s a cozy hotel coffee bar/cocktail lounge and complimentary breakfast served daily. Great central location, within walking distance of all city attractions.
21. Hotel near Blue Lagoon
The Northern Light Inn is the best place to stay near the Blue Lagoon. There’s a free shuttle to the lagoon (2 minutes) or walk the path through the lave fields (15 minutes). The setting is incredible. Also, fairly close to the Keflavik airport (20 minute drive).
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