Best hotels in Reykjavík

Best hotels in Reykjavík: Here's Where You Should Stay

So, you’ve decided Reykjavík is your next holiday destination, but before you dive into Icelandic hot dogs or chase waterfalls, you’ll need to figure out one major thing: where to stay. And not just anywhere, we’re talking about some of the best hotels in the capital city. CenterHotels is an Icelandic hotel chain that strikes the perfect balance between comfort, style, and unbeatable locations. From the ultra-modern Grandi to the artsy charm of Þingholt Apartments, this handy guide has your Reykjavík stay covered.

CenterHotel Grandi: The Trendy Stay by the Harbour

Located in Reykjavík’s vibrant Grandi harbour district, CenterHotel Grandi is where modern design meets industrial chic. Think polished concrete floors, edgy decor, and a restaurant and bar that’s become a local favourite. Grandi isn’t just a pretty place to stay, it’s also a great launchpad for exploring the city. You’re close to museums, galleries, and the Old Harbour, where whale-watching tours set off year-round. Plus, with the buzzing vibe of the area, you'll get a taste of Reykjavík’s creative energy.

CenterHotel Miðgarður: A Splash of Luxury on Laugavegur

Sitting at the upper end of Laugavegur, Reykjavík’s high street, CenterHotel Miðgarður is perfect for travellers who want a touch of luxury and quality spa time. It offers a sleek, contemporary interior and a relaxing spa with an outdoor hot tub, ideal for unwinding after a long day of sightseeing. The on-site restaurant Jörgensen Kitchen & Bar serves up Icelandic dishes with a twist, and you’re just steps from the bars, cafes, and boutiques that make Reykjavík tick. If you're after a more upscale experience, this one checks all the boxes.

CenterHotel Þingholt: The Boutique Gem

Now, this is where things get artsy. CenterHotel Þingholt is tucked away near Reykjavík’s cultural heart and screams boutique luxury. Designed with inspiration from Icelandic nature, the hotel’s decor features dark, moody tones, stone accents, and cool local artwork. Its spa-like atmosphere and intimate size make it a favourite for couples and solo travellers who want a bit of peace without leaving downtown. Plus, you're only a short walk from Reykjavík’s main sights, perfect for exploring on foot.

CenterHotel Plaza: Classic, Central, and Family-Friendly

If you’re all about location, CenterHotel Plaza is the ideal choice. Set right in the bustling Ingólfstorg square, this hotel offers easy access to just about everything: cafés, museums, shops, you name it. Plaza strikes a balance between affordability and comfort. The rooms are spacious and comfortable, the breakfast buffet is generous, and it’s an excellent spot for families or groups who want to stay central without breaking the bank.

CenterHotel Laugavegur: Modern Comfort on Reykjavík’s Main Street

This one’s for the modern traveller who wants to be smack-dab in the middle of it all. CenterHotel Laugavegur is sleek, urban, and thoughtfully designed, from the clean room décor to the social lobby bar, where travellers and locals mingle. Being right on Laugavegur means you're surrounded by Reykjavík’s best shops, thrift shops, bakeries, and nightlife. If you're looking for a hotel that gives you both quiet comfort and front-row seats to the bustling city, this is it.

CenterHotel Arnarhvoll: Views That Steal the Show

It’s not every day you wake up to sweeping views of the North Atlantic and towering Mount Esja, but that’s precisely what you get at CenterHotel Arnarhvoll. This hotel is all about the view, and it makes sure you see it from everywhere, especially the rooftop Sky Bar. Just across from Harpa Concert Hall and close to the harbour, Arnarhvoll combines sleek minimalism with one of the city’s best locations. It’s ideal for travellers who want to enjoy the scenery during their stay.

CenterHotel Þingholt Apartments: Your Home in the City

Looking for a little more space or planning an extended stay? The Þingholt Apartments are a stylish alternative to traditional hotel rooms. Located close to the original Þingholt Hotel, these fully equipped apartments give you all the comforts of home with a kitchen, laundry, and plenty of room to stretch out. It’s perfect for digital nomads, families, or anyone who likes a self-catering setup with hotel-quality service. Plus, you still get access to nearby hotel amenities if needed.

CenterHotel Klöpp: Comfortable and Super Central

CenterHotel Klöpp offers simplicity without sacrificing comfort or location. It’s one of the more budget-friendly CenterHotels, but don’t let that fool you, Klöpp is charming, clean, and super well-situated. Set just behind Laugavegur and a stone’s throw from Hallgrímskirkja church, this hotel is excellent for travellers who spend more time exploring than lounging but still want a solid night’s rest.

CenterHotel Skjaldbreið: Historic and Homey

Last but certainly not least is CenterHotel Skjaldbreið, a charming property set in a beautiful historic building right on Laugavegur. It has a warm, almost B&B feel, which makes it a favourite for travellers seeking local character. It’s smaller than most of the other hotels on this list, but that’s part of the charm. You’ll feel right at home, and the friendly staff go the extra mile to make sure you’re comfortable.

CenterHotels in Reykjavík offer something for every kind of traveller. Reykjavík is more than just a gateway to Iceland’s wild landscapes; it’s a destination in its own right. And with the right place to stay, you’ll enjoy every minute of it.

FAQ

What part of Reykjavik is best to stay in?

Downtown Reykjavík (Miðborg) is the best place to stay for first-time visitors. It's walkable, close to major attractions, restaurants, nightlife, and offers easy access to tour pickups.

Where to stay in Reykjavik for luxury?

CenterHotel Miðgarður offers a luxury experience with a spa, elegant rooms, and a prime location. Þingholt is also an excellent boutique-luxury choice.

How many days do you need in Reykjavik city?

It depends on what you want to see and do, but 2–3 full days are ideal for a taste of the city. Add extra time if you’re planning day trips to the Golden Circle, South Coast, or the Blue Lagoon.

Is Reykjavík a walkable city?

The city is compact and most attractions are within walking distance of each other, especially if you stay downtown.

Where did Kim Kardashian stay in Iceland?

Kim reportedly stayed at the luxurious Retreat Hotel, located at the Blue Lagoon, outside Reykjavík. However, while in the city, it’s likely she stayed in a private or high-end boutique hotel.

Is downtown Reykjavik a good place to stay?

It’s the best place for first-timers. You’ll be near great restaurants, shops, museums, and nightlife; plus most tours offer pickup right from downtown.

What is the nicest street in Reykjavik?

Laugavegur is Reykjavík’s most famous street, full of shops, cafes, and galleries. It’s vibrant, fun, and central; it’s perfect for wandering and people-watching.

Where did Beyoncé stay in Iceland?

Beyoncé and Jay-Z visited Iceland in 2014 and reportedly stayed in a private villa near the Blue Lagoon. Like most celebs, they went for luxury and seclusion.

Is there Uber in Reykjavik?

No, Uber and other ride-sharing apps don’t operate in Iceland. Taxis and local buses are your best bet within Reykjavík.

Do people in Iceland speak English?

Yes, nearly everyone speaks fluent English. From hotel staff to shopkeepers, you’ll have no trouble communicating.