Perched between volcanic drama and icy seas, Reykjavik charms with its cozy culture, colorful rooftops, and front-row seat to the northern lights. We list the best hotels in Reykjavik based on expert recommendations and thousands of guest reviews. All of our recommended hotels have a review rating of at least 4 out of 5 stars.
Best cheap hotel: Alva Hotel Brautarholt
Best boutique hotel: Kvosin Hotel
Best luxury hotel: The Reykjavik EDITION
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Kvosin Hotel sits right in the heart of downtown Reykjavik, blending a historic exterior with sleek, Scandinavian-style interiors. Inside, guests will find a refined bar and thoughtfully designed spaces that balance charm with modern comfort.
A standout feature is the spacious rooms, most of which include a lounge area and a marble-topped kitchenette, ideal for saving on dining costs. For those eager to explore, the city’s growing restaurant scene is just steps away, with many top spots within easy walking distance.
Exeter Hotel sits at the heart of Reykjavík’s revitalized Old Harbour, once the city’s bustling center. Its converted warehouse design features concrete interiors and a sleek palette of charcoal and gun-metal grey, creating a distinctly urban atmosphere in a lively waterfront district.
Despite its city-focused style, the hotel is an ideal base for exploring Iceland’s natural wonders by land or sea. Guests can recharge with hearty street food at the casual eatery or enjoy fresh pastries from the in-house bakery—perfect fuel for adventures across glaciers and geysers.
Reykjavík’s Apótek Hotel sits in a striking 1917 building designed by Guðjón Samúelsson, later known for the iconic Hallgrímskirkja church. The hotel features 45 rooms that combine historic Art Nouveau details with sleek, modern design, creating a vibrant boutique atmosphere.
Located just a block from the parliament house in the compact city center, it offers easy access to major sights. Guests may also prefer to stay in and enjoy the Apotek Kitchen + Bar, an open-plan dining space centered around an Argentine grill.
Don’t be fooled by the rugged name of Sand Hotel. This boutique stay in central Reykjavik is a cozy, indulgent retreat created by the pastry masters behind Sandholt, a beloved local bakery right next door. Guests are warmly encouraged to grab fresh buns and enjoy them in the comfort of their plush beds.
Beyond these cinnamon-scented mornings, the city invites exploration. From scenic day trips to leisurely strolls along Reykjavik’s main street, there’s no shortage of adventures to fill even the longest summer days.
Ion City Hotel is a cool urban retreat set on a lively street in downtown Reykjavik, offering sweeping mountain views, private in-room saunas, and quick access to Iceland’s rugged outdoors. Its design blends nature and modernity, featuring recycled wood paneling, lava-stone walls, and nest-like lighting inspired by the island’s wild landscapes.
Inside, mid-century furniture and soft charcoal tones create a refined Scandinavian feel. The hotel’s restaurant serves inventive North African dishes and draws a trendy local crowd, thanks in part to the presence of Iceland’s Chef of the Year in the kitchen.
Thingholt sits just off Laugavegur’s lively shopping strip, a few blocks from Austurvöllur Square. Housed in a 1940s industrial building, it has been reimagined by Icelandic designer Gulla Jónsdóttir in a minimalist, monochrome style.
The hotel offers 52 sleek rooms and suites, along with a full-service day spa and a chic lounge. While it lacks an in-house restaurant, the surrounding neighborhood more than makes up for it with plenty of dining options nearby.
Reykjavík has long been a stylish destination, though it lacked a large-scale boutique hotel blending nightlife and design. The Reykjavík EDITION fills that gap, bringing a polished, modern presence to the city.
Designed by Roman and Williams, it reinterprets mid-century modern style with Nordic touches like blond wood and local craftsmanship. Its spaces feel cosmopolitan with subtle Icelandic influences, while Tides, its Michelin-starred restaurant, highlights local cuisine. Two elegant bars create lively spots for both guests and locals to connect.
Reykjavik’s 101 district isn’t just a catchy label, it’s the city’s style epicenter. Long favored by hip European travelers, especially Londoners, it offers a rare blend of quiet anonymity and cultural buzz. Celebrities slip in unnoticed, while everyday visitors enjoy a capital that feels refreshingly unpretentious and intimate.
The 101 Hotel finally gives the area a fittingly stylish base. Housed in a stark former political building, it contrasts its exterior with sleek, modern interiors. Black-and-white design dominates, with minimalist rooms, open layouts, and clean Nordic furnishings creating a refined, contemporary atmosphere.
Hotel Reykjavík Saga is a stylish spot in central Reykjavik, putting you close to the city’s shops, cafes, and cultural highlights. The design feels modern and comfortable, with a calm atmosphere that makes it easy to unwind after a day out.
Rooms are sleek and cosy, and the hotel has a polished, boutique feel without being too formal. It is a handy base for exploring the city, whether you are heading to Hallgrímskirkja, the harbour, or just wandering around downtown.
Hotel Reykjavík Grand is a large, modern hotel in Reykjavik, set a little outside the busiest downtown streets but still close enough for an easy trip into the city. It has stylish rooms, wide open common areas, and a calm, polished feel that works well for both couples and business travelers.
Guests often like the generous breakfast, comfortable beds, and views over the city or nearby mountains. The hotel also has a restaurant, bar, fitness facilities, and plenty of space, making it a convenient base for exploring Iceland’s capital.
Alva Hotel Brautarholt is a simple, comfortable stay in Reykjavik, great if you want a relaxed base for exploring the city. The rooms are modern and tidy, with a clean Scandinavian feel, and guests often like the easy self-check-in and peaceful atmosphere.
It is set a little away from the busiest tourist spots, so it feels quieter while still being convenient for getting around. A good choice for travelers who want comfort, practicality, and a no-fuss stay in Iceland’s capital.
Reykjavík Residence Apartment Hotel offers stylish, low-maintenance lodging in the heart of Iceland’s capital. Spread across several buildings, including a former Prime Minister’s residence, it sits just off Laugavegur, the main shopping street, and within easy walking distance of most major sights and restaurants.
The hotel features 47 rooms, ranging from spacious studios with kitchenettes and en-suite bathrooms to larger suites and apartments with a more residential feel, making it ideal for comfortable, self-catering stays.
Center Hotels Grandi is a stylish, laid-back hotel in Reykjavik’s old harbor area, close to the waterfront and within easy reach of the city center. The rooms feel modern and cozy, with a clean Nordic look that fits the neighborhood perfectly.
It is a great base for exploring Reykjavik, whether you want to wander by the sea, check out nearby museums, or head into town for shops, cafés, and nightlife. The overall vibe is relaxed and welcoming, with a cool local feel.
Hotel Reykjavík Centrum is a cozy, well-located hotel right in the heart of Reykjavik’s old town. You can easily walk to popular spots like cafés, shops, museums, and the harbor, which makes it a great base for exploring the city.
The hotel mixes modern comfort with a bit of local history, and the rooms feel warm and welcoming. It is a nice choice if you want to stay somewhere central, relaxed, and close to the city’s main attractions.