Best Boutique Hotels in Iceland

Located within 3 km of Kirkjugólf and Systrafoss twin waterfalls, Magma Hotel offers accommodation in Kirkjubæjarklaustur. Rooms are modern with Nordic design and free WiFi. Views of the lava-fields, black sand river and even Vatnajäkull Glacier can be enjoyed from the hotel. Rooms come with a flat-screen TV and private bathroom. Some room feature a patio looking out towards the impressive South Iceland nature. Vik is 72 km from Magma Hotel. Skaftafell and Svartifoss waterfall are about a 50-minute drive away.

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Featuring a lounge and views toward Eyjafjallajökull, Umi Hotel is located at the foot the famous volcano in South Iceland. It features a terrace and views of the sea. Guests can enjoy the on-site restaurant. Vik is 41 km away. Each room is fitted with a flat-screen TV. Certain rooms include a seating area for your convenience. You will find a kettle in the room. Rooms include a private bathroom. For your comfort, you will find bathrobes and free toiletries. Umi Hotel features free WiFi throughout the property. There is a 24-hour front desk at the property. You can engage in various activities, such as horse riding and fishing. Eyjafjallajökull Erupts exhibit is 3 km from the hotel, while Ring Road 1 is just 2 km away. Hvolsvöllur is 43 km away.

Located in the heart of a volcanic frontier, the Retreat features a subterranean spa, a geothermal lagoon and a restaurant. This 60-suite hotel is encircled by the Blue Lagoon’s water. All rooms have a minibar with soft drinks, wine, and Icelandic beer, turndown service, WiFi, and 24-hour room service. The Retreat offers all guests unlimited access to the Retreat Spa, the Retreat Lagoon, the Blue Lagoon and Blue Lagoon Ritual, as well as skin care amenities. This hotel offers yoga sessions and afternoon Icelandic coffee in the shared lounge. It also has a 24-hour front desk, concierge service, and valet parking. An à la carte breakfast is served each morning. The property has a fitness centre that guests can use. Keflavík Airport is just 23 km away.

This hotel is on Reykjavík’s main street, Laugavegur, 250 metres from the waterfront promenade. It offers an intimate setting and tastefully designed rooms. Parking is free. Each individually decorated room at Hotel Phoenix 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 100 metres away. Reykjavík Art Museum Hafnarhús is a 5-minute walk away from the hotel.

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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 Hotel Eyja. 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 centre and bicycle hire. The area is popular for cycling. Hallgrímskirkja Church is 1 km away, while Harpa Concert Hall & Conference Centre, the National Museum of Iceland and Reykjavík Domestic Airport are all within 2 km of the hotel.

Luxury beds and power showers are offered at Hótel Egilsen. Baldur Ferry Terminal and boats to the West Fjords and Flatey island are 300 metres away. Wi-Fi is free. Set in an 1860s building, Hótel Egilsen’s charming rooms have iPod docking stations and views of the Atlantic Ocean. The shared guest lounge has a small library. Fresh, organic eggs are offered each morning. . Snæfellsjökull National Park is 74 km from Egilsen Hótel. The public swimming pool, Sundlaug Stykkishólms, is within 5 minutes’ drive.

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 13 km 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.

These luxury apartments in central Reykjavik are just 350 metres from Old Reykjavik Harbour. 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 1.5 km from the apartments.

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Featuring a stargazing observatory on site, this luxury hotel is in an idyllic remote location next to the Rangá salmon river in Hella. The hotel offers wake-up calls for when the Northern Lights appear and turns off all lighting for the viewing experience. Guests can also enjoy outdoor hot tubs and free WiFi. Hotel Rangá offers individually decorated rooms with impressive views of the surroundings including Mount Hekla or the riverside. Guests can choose rooms with such items as a spa bath, balcony and flat-screen TV. At Rangá’s restaurant, views of the riverside and Eyjafjallajökull volcano can be admired while tasting local gourmet cuisine with Nordic nuances. Fresh organic produce is used. Staff will gladly help arrange activities in the area. Hella and Hvolsvöllur are both within 8 km of the hotel, while Selfoss is 45 km away. Reykjavik is 2-hours away by car.

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 accommodation 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.