Best Central Hotels in Reykjavik (2025)

Reykjavik is a compact city of colourful rooftops, lively streets, and a buzzing cultural scene. From exploring the striking Hallgrímskirkja church to browsing quirky shops, cafes, and galleries along Laugavegur, there’s plenty to keep you busy. The city’s central hotels put you close to it all, offering everything from modern minimalist rooms to cosy, character-filled stays. Some boast city or waterfront views, others focus on great dining or boutique comforts. Whether you’re after a stylish retreat, an affordable base, or a romantic getaway, this collection highlights Reykjavik’s top downtown hotels for every type of traveller.

For a spa break

• All-white rooms with cowhide throws and freestanding bathtubs set a serene tone at Centerhotel Thingholt. The award-winning spa features advanced treatment rooms, a sauna, steam room, hot tubs, and bespoke massages. The onsite bistro and bar provide relaxed dining, while Laugavegur’s shops, nightlife and markets are just steps away.

For a boutique base

• Set in a 1917 landmark by Guðjón Samúelsson, Apotek Hotel offers grand rooms with parquet floors, sash windows, and luxurious rain-shower bathrooms. Apotek Kitchen delivers modern Icelandic dishes, while guests can unwind at the Borg Spa or join free city walking tours. Steps from nightlife and Austurvöllur Square.
• In Reykjavik’s historic core, Kvosin Downtown Hotel features spacious Scandi-style suites with balconies, kitchenettes, and local artworks. A cosy bar, curated tours, and glacier, whale watching, and Northern Lights excursions keep guests active. Close to parliament and Old Downtown Church, it’s perfect for explorers seeking both style and adventure.

For waterfront views

• Set on the Old Harbour, The Reykjavik EDITION epitomises Icelandic minimalism at its most stylish. Expect contemporary interiors with clean lines, natural woods, and muted Nordic tones. Floor-to-ceiling windows frame harbour views, while plush seating and curated art pieces create a refined yet cosy atmosphere. The waterfront restaurant and chic bar amplify the stylish, urban vibe.

For city chic

• Hotel Borg is an Art Deco haven featuring cream leather, dark woods and marble floors. Bathrooms boast Philippe Starck fittings, while the restaurant champions regional classics. Expect Bang & Olufsen tech, an in-room music system and a stylish bar — a perfect stylish base for city exploring.

Still not sure?

• Browse through our suggestions for all the best places to stay in Reykjavik,
• Expand your search to include all our recommendations in Iceland,
• Or, contact one of our friendly Gurus for personalised advice.