8 Best Hotels in Iceland

No matter if you’re searching for a luxury hotel or something budget-friendly, Iceland has it all. From wellness retreats to adventure hotels, there’s sure to be a place that meets your requirements.


Reykjavik, Iceland’s capital city, serves as a perfect base to explore all that this icy island has to offer. That makes it wise to find accommodation close by the action.

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101 Hotel

This modern hotel, conveniently located in Reykjavik’s city center, is a go-to choice for travelers on city breaks or business trips. Boasting a contemporary design with black and white interiors and an inviting restaurant/bar area, the property also provides fitness and spa amenities.

These 38 guest rooms provide an inviting ambiance, featuring heated oak floors and sheepskin rugs with stainless steel furniture, high-speed Internet, DVD players and disposable cameras – just be sure to bring your own earplugs and headphones (Reykjavik loves technology!). Many have harbour views.

Room amenities include a minibar, satellite TV and CD/DVD player. Some rooms boast private terraces – ideal for enjoying some summertime relaxation!

This stylish boutique hotel is conveniently situated half a block from Laugavegur, Reykjavik’s pedestrian shopping street. Within easy walking distance are many of the city’s top attractions like Old Harbor and Kolaportid flea market; plus there are plenty of restaurants and bars within reach.

Hotel Borg

Hotel Borg, a modern take on an Art Deco building, is a must-stay for visitors to Reykjavik. Situated next to the city’s parliament building, this hotel overlooks picturesque Austurvollur square and is within easy walking distance of numerous local shops and restaurants.

No matter if you’re here for business or pleasure, this hotel provides all the amenities to make you feel right at home during your stay. It provides airport shuttles and a 24-hour front desk to make sure everyone feels welcome.

Standard rooms feature flat-screen TVs and minibars, while private bathrooms come complete with designer toiletries. Furthermore, they have ironing boards as well as an in-room safe.

Hotel Borg is conveniently situated in Reykjavik’s downtown district, a mere stroll away from Laugavegur Shopping Street and the National Gallery of Iceland. This makes it an ideal base for those wanting to discover Reykjavik’s cultural attractions as well as world-famous nightlife scene.

Icelandair Hotel Reykjavik Marina

Icelandair Hotel Reykjavik Marina offers stylish maritime-inspired decor and an ideal location by the old harbour, making it a top pick for anyone seeking an up-scale stay in Iceland’s capital. With 147 rooms, many with views over either city or marina, this hotel provides plenty of luxurious options.

Each room features a double or single bed, flat-screen TV, complimentary Wi-Fi, mini fridge and safe. Bathrooms feature showers and hair dryers for your comfort.

At Slippbarinn, a coffee shop and restaurant are located within the hotel for those who appreciate Scandinavian cuisine. Small in-house cinema screens subtitled Icelandic films three to four times a week and cartoons on Saturdays.

The hotel also features a gym with weights, treadmill, a climbing wall and yoga mats. Its restaurant serves Nordic specialties while the bar provides entertainment such as films, live bands or cocktails.

The hotel is only a short stroll away from Reykjavik Harbour, Harpa concert hall and Laugavegur shopping street. Additionally, Grandi Matholl market nearby provides plenty of opportunities to sample local street food delicacies.

The Retreat at Blue Lagoon Iceland

The Retreat at Blue Lagoon, built into an 800-year-old lava flow in Iceland’s UNESCO Global Geopark, is a luxury resort featuring a subterranean spa, geothermal lagoon, and 62 suites that encircle the mineral-rich waters of the famed Blue Lagoon. Designed by Reykjavik-based Basalt Architects and Milan-based Design Group Italia, the hotel blends seamlessly into its otherworldly surroundings.

Inside, floor-to-ceiling windows create a seamless transition between indoor and outdoor living. Each of the 62 suites is an urban take on nature with sleek lines and earthy textures.

The concrete used throughout the complex varies in texture from off-white in the lobby to smooth dark grey at the spa’s entrance. It pays homage to bare lava walls and perforated facades that showcase air pockets embedded within lava rocks.

Thorsteinsson expressed that he wanted the resort to blend seamlessly into the landscape and connect people with nature. He expressed that he hopes this experience will foster a sense of awe-inspiring reverence for nature that city dwellers often neglect.

Hilton Reykjavik Nordica

If you’re searching for a modern hotel in Reykjavik that provides free Wi-Fi and an impressive fitness center, Hilton Reykjavik Nordica is an excellent option. Its 251 contemporary rooms come complete with flat-screen TVs with satellite channels and private bathrooms to ensure guests have a comfortable stay.

This steel and glass hotel, situated in the city’s business district, attracts travelers who appreciate its 11 meeting rooms, chic event space, as well as its expansive and comprehensive gym. Additionally, guests can take advantage of happy hour at the lobby bar which offers premium drinks at half price during select hours.

At the four-pearl Hilton Reykjavik Nordica, rooms are bright and airy with views of either mountains or sea. All feature a flat-screen television, safe, hairdryer, as well as toiletries from Peter Tomas Roth.

The hotel’s VOX Restaurant is a popular dining option, while the lounge bar provides an ideal place to unwind after a long day of exploring. Furthermore, guests can take advantage of the spa with multiple workout rooms, a sauna and a jacuzzi tub outdoors.

Radisson Blu 1919 Hotel

Radisson Blu 1919 Hotel in Reykjavik’s city center is an ideal stop for those wanting to explore this vibrant city. Its 88 rooms are well-appointed, and the staff are available 24/7 to assist with booking tours and tickets.

Rooms come equipped with Smart televisions, minibars and in-room safes. Bathrooms offer bathtubs or showers as well as hair dryers for added comfort.

The hotel provides dry cleaning and laundry services as well as a business center and complimentary newspapers in the lobby.

At the 1919 Restaurant, guests can enjoy seasonal cuisine. Additionally, the 1919 Lounge provides light meals and cocktails.

Other amenities include a 24-hour business center and meeting spaces.

Guests at the hotel can take advantage of its shuttle service to and from the airport.

Radisson Blu 1919 Hotel puts you right in the city center, within a 10-minute walk of Laugavegur and the National Museum of Iceland. The closest airport is Reykjavik Airport, about 20 minutes away by car.

Ion Adventure Hotel

Only an hour away from Reykjavik, the Ion Adventure Hotel is a chic and eco-conscious luxury design hotel situated at Mount Hengill’s base. Designed with nature in mind, it provides breathtaking views of Aurora Borealis throughout its unique natural environment.

This 4-star Selfoss hotel features a spa, outdoor pool and fitness center. Its restaurant serves Nordic cuisine while some rooms provide stunning views of Lake Thingvellir.

The 45 rooms are modern and comfortable, featuring fair-trade organic linens, and flatscreen TVs with water-saving showers. Plus they come with iPhone docks, Nespresso coffee machines, and a minibar for added convenience.

This hotel is situated amidst a lush landscape near a geothermal power plant that emits crystal-white smoke. It’s an excellent spot to spot the Northern Lights!

Hotel Ranga

Hotel Ranga is an idyllic retreat situated amidst Iceland’s most breathtaking natural splendors, popular with celebrities and honeymooners for its cozy cabin decor, gourmet dining experience and outdoor geothermal hot tubs.

It is also an ideal spot to see the Northern Lights during the fall and spring months. This unique stargazing observatory is solar-equipped, housing two high-end telescopes.

This intimate boutique hotel is part of Hyatt’s Small Luxury Hotels of the World collection and the perfect starting point to explore Chile’s Golden Circle and South Coast attractions as well as its captivating black sand beaches.

Ranga is a luxurious country lodge situated along the salmon-stocked River, an hour from Reykjavik. Its restaurants boast Michelin-rated cuisine that would make any Michelin-rated chef proud. The log-cabin style rooms feature wood panel walls and rustic furnishings; there’s also a lounge/bar to unwind after an exciting day of exploring; plus there’s also a games room complete with stag horn ‘chandelier’, pool table and puzzles for added entertainment.

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