Top Boutique Hotels in Capital Region (2026)

Located on the 20th floor of a contemporary glass tower, these stylish penthouse suites are in central Reykjavik and feature panoramic views of the city or sea. Free WiFi is included. Each room has floor-to-ceiling windows, a complimentary mini-bar and Nespresso coffee maker. All rooms are fitted with a private bathroom. Additional features include a telescope and an iPad. Restaurants and coffee shops are located on the ground floor. Harpa Concert Hall is 1.1 mi from Tower Suites Reykjavik. Restaurants, bars and shopping are within 0.3 mi walking distance at Laugavegur shopping street area. Hallgrímskirkja Church is 0.6 mi away.

- "Incredible accommodation with fantastic views of the city, ocean and mountains. The rooms were immaculately clean, spacious and equipped with a free mini bar of soft drinks and snacks as well as a coffee maker. The staff were also very helpful when we were unable to make a booking at the Blue Lagoon or Skye lagoon because of volcanic activity and advised us about another lagoon just outside of the city. The breakfast provided was enormous and superb!!! Just wish that we’d been able to stay for longer."

This hotel is on Reykjavík’s main street, Laugavegur, 820 feet from the waterfront promenade. It offers an intimate setting and tastefully designed rooms. Parking is free. Each individually decorated room at Hotel Phenix features classic décor and furnishings. Satellite TV, a seating area and private bathroom are also included. Sightseeing tours can also be booked on site. The Hlemmur Bus Stop is only 328 feet away. Reykjavík Art Museum Hafnarhús is a 5-minute walk away from the hotel.

- "Each morning, I enjoyed a consistently delightful breakfast that provided an excellent start to my day. The proximity to the city center was incredibly convenient, allowing me to reach various destinations with just a few steps. The room exuded a charming traditional charm, with its captivating colors and design that I found highly appealing. The staff exhibited remarkable politeness, were exceptionally helpful, and extended warm hospitality throughout my stay. I plan to revisit them during my trip next year!"

Located next to Hlemmur Square, this hotel is just off Laugavegur, the main shopping street in Reykjavík. It offers a view over the city and Esja Mountain. Balinese-style furnishings and 4-poster beds are featured in all rooms at Eyja Guldsmeden Hotel. Each also has a flat-screen TV and a bathroom with Guldmeden's own organic toiletries. Some rooms have a view over the sea, mountain or city. The on-site restaurant offers local and organic options. Guests can also enjoy a bar at Eyja Guldsmeden, as well as a fitness center and bicycle hire. The area is popular for cycling. Hallgrímskirkja Church is 0.6 mi away, while Harpa Concert Hall & Conference Center, the National Museum of Iceland and Reykjavík Domestic Airport are all within 1.2 mi of the hotel.

- "Very beautiful and clean rooms, comfortable bed and friendly staff. We even saw aurora borealis from a our bedroom!!! Parking spot for free so easy access to downtown Reykjavik." - "Worth a revisit, located centrally and parking on site was a plus if you have a rental car" - "This hotel saved our trip by allowing us to check in early and get a little rest. 5 stars for that service alone! Great little room and a great way to start our trip."

Overlooking Lake Ellidavatn, this hotel offers free parking, free Wi-Fi access and an in-house restaurant. All rooms have private bathrooms and flat-screen TVs. Central Reykjavik is 8.1 mi away. A work desk and wardrobe are featured in all rooms at Hotel Kriunes. Most rooms include a seating area. Some feature tea/coffee facilities and lake views. Relaxation options include a sauna and hot tub. Guests can unwind on the furnished terrace or in the fireplace lounge. Boat, kayak and bicycle rentals are available on site. Breakfast is served each morning at Hotel Kriunes. The in-house restaurant offers home-made dishes based in local produce. Heidmörk Natural Park is just across the lake from the hotel. Kopavogur/Gardabaer Golf Club is a 10-minute drive away.

- "Love this place! 10/10" - "My son and I arrived late, close to 1am, due to 2-3 hours wait to get the cheap car rental (go with the more expensive ones which have a booth inside the airport). But the place made us happy, we shortly started enjoying our vacation. The receptionist even waited for us that late, and gave us a nice room with the lake view. There are beautiful walks by the lake and in the area, which I recommend. Great breakfast and amazing nice staff!"

These luxury apartments in central Reykjavik are just 1148 feet from Old Reykjavik Harbor. Each features free WiFi, contemporary furnishings, an iPad and city-view balcony. The bright and spacious suites at Black Pearl Apartment Hotel all have large windows, blackout curtains and heated, marble floors. Each apartment’s seating area has a flat-screen TV with satellite channels. Complimentary tea and Nespresso coffee are provided. In-suite breakfast package can be ordered and delivered directly to the apartment. Children can enjoy breakfast at a discounted price. Several restaurants and bars can be found in the surroundings, as well as the Reykjavík Art Museum and Volcano House Exhibition Cinema. Harpa Concert Hall is a 7-minute walk away, while Hallgrímskirkja Church and Reykjavik Swimming Pool are both 0.9 mi from the apartments.

- "We were amazed at the location of the property! It's right by the harbor and right by all of the sites! It's minutes away from the restaurants and shopping! Taxi's were ordered by calling the front desk and they were there when we needed them! Most people spoke English so it was extremely easy to converse. The apartment was extremely clean and bright!" - "Very clean and a good location" - "Beautiful and spacious apartments. Amazing location close to everything. The staff were super helpful."

Reykjavik Residence combines hotel services with self-catering apartments that offer flat-screen TVs, free Wi-Fi and modern kitchen facilities. The apartments of Reykjavík Residence are centrally located in several different historic buildings, all within a few minutes walking distance from each other The hotel reception is available 24-hours and is located within a few minutes walking distance from all of the apartment buildings. Reykjavik Residence Apartment Hotel provides soundproofed accommodations just around the corner from the city’s main street, Laugarvegur. All options include tea/coffee makers and microwaves. Communal laundry facilities are also available. Shopping, restaurants and a lively nightlife are easily accessed, and guests can ask the 24-hour reception staff for recommendations. Keflavík International Airport is a 50-minute drive away, and Residence Reykjavik offers a pick-up service for an additional fee.

- "Concierge staff, location" - "Really comfortable room with a little kitchenette right near the heart of Reykjavik. Walking distance to all major attractions and very close to transport as well. I will stay here again on my next visit!" - "What a fabulous place. Absolutely immaculate, great facilities, perfect location. I could go on and write a big review but the best I can say is it was perfect and would recommend it to anyone. We will be back!"

Set on a square behind Reykjavík Cathedral and the Icelandic Parliament, this hotel offers modern rooms with free Wi-Fi access and Nespresso coffee machines. Lake Tjörnin is 1 minutes’ walk away. Dating back to 1900, the modern Kvosin Downtown Hotel offers rooms with a seating area, flat-screen TV and a private bathroom with shower. Most rooms have a kitchenette with a dining area, fridge and cooking hobs. Aldamot Bar is located on the ground floor of Kvosin Downtown. A continental breakfast is served each morning at the hotel. Views of the cathedral and parliament can be enjoyed from the ground-floor terrace. The 3rd-floor terrace overlooks the city lake. Austorvollur Park is 164 feet away. Laugavegur shopping street is a 5-minute walk from the hotel.

- "Very centrally located. Large rooms with balconies. Excellent, helpful staff. Will stay here again when we come to Reykjavík." - "Checkin was easy. The room was comfortable, beds were great, shower was fantastic. Staff was extremely friendly and helpful. Location was perfect for us." - "Staff was professional, friendly, and helpful. The location is perfect to walk to area attractions and restaurants. The breakfast was simple but perfect. The room was a little larger than in Europe, clean, and modern. FYI the nearest pick up stop for tours, etc is Bus stop #1 - City Hall."

Sandhotel offers accommodations along Laugavegur shopping street in Reykjavík. The boutique hotel has a terrace and views of the city, and guests can enjoy a meal at the restaurant. Every room is equipped with a flat-screen TV and a fridge. Certain units have a seating area for your convenience. You will find a kettle in the room. The rooms are equipped with a private bathroom. Bathrobes, free toiletries and a hairdryer are included. You will find a 24-hour front desk at the property. Sandhotel features free WiFi throughout the property. Hallgrímskirkja Church is 984 feet from Sandhotel, while Harpa Concert Hall & Conference Center is 2953 feet away. Lækjartorg Square is 1804 feet away.

- "The helpfulness of the staff was extraordinary. They were able to solve our issues, provide porter service for our bags, and arrange for a ride to the airport when we left." - "The location is top notch, close to the main sights, the staff is very professional and ready to help every time, the room was clean, the bed -comfortable, and the breakfast was so good (in my opinion it exceeded even some of the 5 star hotels I have been staying)." - "Perfect location, hotel situated on the pedestrian street. Tasteful decor, pleasant atmosphere, cleanliness. The breakfast is excellent. Although the hotel does not have its own parking, this is absolutely not a problem. About 300 meters from the hotel there is a cheap parking garage (Hverfisgata 20), which we used and always found a spot."

Located on Laugavegur shopping street, ION City Hotel, Reykjavik, a Member of Design Hotels offers accommodations in Reykjavík, with a fitness center and restaurant. The Einar Jónsson Museum and Hallgrímskirkja Church are 1640 feet away. Certain units have a seating area to relax in after a busy day. Certain rooms feature views of the sea or city. A flat-screen TV with satellite channels is offered. There is a 24-hour front desk and on-site bar at the property. Shopping, restaurants and bar are within walking distance in the area. Solfar Sun Voyager is 1312 feet from ION City Hotel, Reykjavik, a Member of Design Hotels, while The Pearl is 1.2 mi away. Lækjartorg station is 1640 feet away.

- "The location was perfect for walking and enjoying local sites and restaurants. We arrived prior to check in time, stored our luggage, and went out for the afternoon. They sent a text when the room was ready, which ended up being earlier than anticipated, which was great!" - "Location and cleanliness" - "Great location close to restaurants and bars. Comfortable room and great design. Friendly staff." - "Excellent location" - "Location" - "Location was perfect"

Located just a 2-minute walk from Laugavegur Shopping Street, Canopy by Hilton Reykjavik City Center in Reykjavík features a number of amenities including a fitness center and a bar. The hotel is 1640 feet from Harpa Concert & Conference Center. Each room features minimalist Icelandic design and comes with a coffee machine. The tiled bathroom has walk-in shower and free toiletries. A desk or seating area come standard. WiFi is free. A buffet breakfast is available every morning at Canopy by Hilton Reykjavik. You can taste locally inspired menus at the hotel restaurant. The fitness center is open 24-hours and includes cardio machines, weights and yoga mats for a varied work out. The hotel is around a 6-minute walk from Hallgrímskirkja Church, while Parliament House and the city lake Tjörnin are a 10-minute walk away. Lækjartorg Square is 1148 feet away from the hotel.

- "Very nice and stylish hotel in good location. Staff very friendly." - "Lovely large room with a good layout. Shower was phenomenal!" - "Great location. Clean spacious rooms" - "The location was amazing, close to pick up stop for all trips and near the best restaurants and bars, by the harbour. Hotel is a high class hotel with excellent finish and style. It was one of the most comfortable beds I have ever slept it. Will be back with the kids next year and 100% stay here. Premium hotel, great location, great staff, and good value. Restaurant top notch too."

Found in central Reykjavík, this boutique hotel is set in a listed-building, designed by former state architect Gudjón Samúelsson in 1917. Its brightly decorated rooms include free WiFi and a flat-screen TV. Laugavegur shopping street is just 2 minutes’ walk away. A seating area, mini-bar and work desk feature in all rooms at Apotek Hotel. Each room has a tiled bathroom with a shower, hairdryer and free toiletries. Guests can enjoy a meal at the in-house restaurant and a drink in the hotel bar. Several other restaurants, bars and shops are found in the surrounding area. Hallgrímskirkja Church is a 10-minute walk away. Reykjavík Harbor is 2133 feet from Hotel Apotek Reykjavík.

- "Perfect location, staff was great, nice clean room, and the breakfast was amazing! The hotel is in walking distance of everything." - "Good breakfast but not up the standard of lunch and dinner which were excellent and unusual The location could not be bettered - charming places nearby, walking distance to museums, especially the Punk Museum, which was crazy and wonderful. Quite near the main bus stop for dropoffs and pickups for airport and trips."

Step into a world of timeless charm at our boutique hotel, nestled in the heart of Reykjavik's historic neighborhood. With a 4-star legacy dating back to 1965, our hotel invites you to experience the rich history and captivating art of Iceland. Admire the country's largest privately owned art collection, featuring works by iconic Icelandic artists. Our 42 rooms, spanning four floors, offer a fusion of contemporary Icelandic decor and modern comforts, complemented by free parking and exceptional personal service available 24 hours a day. Whether you choose a cozy standard room or a spacious suite, you'll enjoy beautiful views of the city. Discover Reykjavik's past and present at our hotel—a place where history, art, and elegance come together for a truly unique and unforgettable stay.

- "Classic hotel..warm and cozy.My all time favorite." - "Absolutely everything! Amazing and great bar area" - "The breakfast was great and offered a variety of offerings." - "Great hotel, room was very good, great location" - "The breakfast was excellent. It was our first trip to Reykjavik so we were not very familiar with the different areas of the city. As it turned out, the Holt was in a great, quiet neighborhood and very well located to get to most everything we wanted to see. We feel we found a real gem and would definitely recommend to others."

Set in the popular 101 harbor district of Berjaya Reykjavik Marina Hotel offers free Wi-Fi access. All rooms include a flat-screen TV and either city or harbor views. Each room at Berjaya Reykjavik Marina Hotel has a private bathroom with shower. Studios include a sofa. Some rooms also have a balcony. Guests can relax beside the fireplace in the lobby area. Icelandic films can be watched at Slipp Cinema. Whale-watching tours depart right next to the hotel. Reykjavik Art Museum is less than 5 minutes’ walk away.

- "Great location in harbour area lots of restaurants and bakeries near by. Not to long of a walk to the bus stop 12 where tours pick you up. Staff were friendly. Rooms were clean." - "Excellent location and facilities. The staff went above and beyond to celebrate my wife’s 50th birthday!" - "Loved our stay here. Hotel rooms are clean, modern and comfortable. The staff are really friendly and helpful :). Relaxing areas downstairs are modern and quirky and the food and drinks were lovely. Would definitely stay again!"

Located on Laugavegur shopping street in central Reykjavik, this hotel offers modern rooms with a flat-screen TV and free WiFi access. Hallgrimskirkja Church is a 5-minute walk away. All guest rooms at Alda Hotel Reykjavík have a private bathroom with a bath or shower, hairdryer and free toiletries. Some rooms feature a private balcony with sea or city views. Guests enjoy free access to Alda Hotel’s gym, sauna and outdoor hot tub. Bicycles can be rented on site. Guests can also have a drink at the hotel bar. Reykjavik Art Museum is a 10-minute walk away. Lake Tjörnin is 0.6 mi from the hotel.

- "Very stylish hotel, great location. Not too close to the main busy area to hear the noise but close enough to be a only a few minutes walk away. Stayed in the queen suite and it was amazing. So much space, very comfortable bed and all you could want from a room after a long day exploring. Staff are all very welcoming, helpful and friendly. Breakfast was a great also, good variety of hot and cold foods. Also a nice touch to be given a breakfast bag on the day of check out as we were due to leave before breakfast opened."

This hotel is set on one of Reykjavik’s oldest streets, Adalstraeti, 650 ft from Reykjavik Art Museum. It features a unique Viking exhibition center, plus in-room satellite TV and tea/coffee facilities. Hotel Reykjavik Centrum has both hotel rooms and self-service studios. All feature modern décor, fresh bathrooms and hardwood floors. Traditional Icelandic dishes and an extensive wine list are served at Fjalaköttur, Reykjavik Centrum’s award-winning restaurant. Uppsalir is the hotel’s own cafe bar. The hotel was built above the ruins of a Viking-era longhouse. An on-site exhibition center now honors this historic feature. It also displays Iceland’s oldest human remains, dating back to 870 AD.

- "We were very happy with breakfast and the rooms for me and my daughter in law the second room next to us for my other daughter in law and my grand daughter" - "Excellent breakfasts. Location a block from bus stop #1. The happy hour bar was a perfect place to write up notes on the day before dinner. Loved the heated floor in the bathroom" - "Perfect location to walk to the beautiful city of Reykjavik. Comfortable clean room and looked after by the friendly reception staff. The atmosphere is wonderful and the hotel is warm and cosy to relax in after a day of sightseeing. Highly recommend"

Located in Reykjavík and with Nauthólsvík Geothermal Beach reachable within 1.8 miles, Center Hotels Laugavegur has concierge services, non-smoking rooms, a restaurant, free WiFi throughout the property and a bar. This 4-star hotel offers room service and a 24-hour front desk. The property is a 9-minute walk from Solfar Sun Voyager, and within 0.7 miles of the city center. The rooms at the hotel come with a seating area, a flat-screen TV with satellite channels, a safety deposit box and a private bathroom with free toiletries and a hairdryer. The rooms come with an electric tea pot, while certain rooms have a balcony and others also feature city views. At Center Hotels Laugavegur rooms include bed linen and towels. Breakfast is available each morning, and includes buffet, continental and vegetarian options. Popular points of interest near the accommodation include Hallgrímskirkja Church, The Pearl and Reykjavik Art Museum: Kjarvalsstadir. The nearest airport is Reykjavík Domestic Airport, 1.2 miles from Center Hotels Laugavegur.

- "The breakfast was phenomenal. The location was very convenient to everything." - "The front desk attendant was very friendly and resourceful. We checked in early morning and were able to use the free lockers and free parking at the back of the hotel without issue which was incredibly helpful." - "The rooms were clean and super comfortable. Centrally located and access to the main shopping areas." - "The stay was pleasant — clean rooms, with a bonus for having an iron and a hairdryer. Cleaning was available upon request, and despite the hotel being located by the street, it was fairly quiet. The internet connection was good. Overall, a pretty good hotel for a weekend stay."

Midgardur by Center Hotels is located on Reykjavik's main shopping street Laugavegur, and features an on-site bar, restaurant and free WiFi. Hallgrímskirkja Church is 2625 feet away. The bright rooms at Midgardur by Center Hotels come with a flat-screen TV, mini-bar and private bathroom. For your comfort, you will find free toiletries and a hairdryer. Views of the sea, mountain or city are featured in certain rooms. The restaurant serves dishes based upon Icelandic tradition, mixed with modern and international flavors. Guests can also relax with a drink at the bar. Cafés, restaurants and shops can be found in the surroundings. Reykjavík Domestic Airport is 1.7 mi away from Midgardur by Center Hotels.

- "perfect location. Bus stop 13 right outside hotel. on main shopping street. great service. lovely affordable restaurant" - "This property is in a fantastic location. Parking is a little tight can be hard to find. The facilities were great. Breakfast was very good." - "Everything was exceptional. The front desk was so helpful especially Astrid. So kind and courteous. The hotel is located perfectly walking distance from the main shopping street. Busy station in front of the hotel. Breakfast was amazing and the spa is wonderful. Will definitely be back."