Reykjavik — Neighborhood Guide
Vesturbær is Reykjavik's quiet west side — a residential neighbourhood of traditional corrugated-iron houses, the University of Iceland, the National Museum, and a slower, more authentic Icelandic urban character. Home to the famous Nauthólsvík geothermal beach.
Quick Answer
Vesturbær is Reykjavik's quiet west side — a residential neighbourhood of traditional corrugated-iron houses, the University of Iceland, the National Museum, and a slower, more authentic Icelandic urban character. Home to the famous Nauthólsvík geothermal beach.
5 hotels reviewed · Price range: $$, $$$$, $$$ · Last updated March 2026
About This Guide
The West Quarter extends from the city centre towards the Seltjarnarnes peninsula, a neighbourhood of calm residential streets, the university campus, and some of Reykjavik's finest museums — the National Museum of Iceland, the Árbær Open Air Museum, and the Settlement Exhibition are all nearby or accessible. The Nauthólsvík geothermal beach, where warm volcanic water is piped into a golden sand bay, is one of the city's most beloved summer spots.
Insider Tips
The best dining in Vesturbær is usually one street back from the main tourist thoroughfare.
Ask your hotel concierge for their personal favourite spots in Vesturbær — they often know hidden gems.
Walking is the best way to experience Vesturbær — most attractions are within a 15-minute stroll.
Our Picks
5 hotels · Updated February 2026
Vesturbær
One of the tallest buildings in Iceland, Fosshotel Reykjavik is a reliable modern four-star hotel with exceptional panoramic views from its upper floors — on a clear day the views extend to the Snæfellsjökull glacier and across the entire Reykjanes Peninsula. A solid choice for travellers who want comfort, views, and easy parking.
Laugavegur
Jutting from a lava field beside Iceland's Golden Circle, Ion Adventure Hotel is the country's most architecturally extraordinary property — glass walls opening to tundra and geothermal hot springs, a Northern Lights bar that must be seen to be believed, and activities ranging from glacier hikes to dog sledding. An utterly unique experience 45 minutes from Reykjavik.
Laugavegur
A magnificently restored early-20th-century pharmacy building on Austurstræti, Apotek is one of Reykjavik's most atmospheric boutique hotels — a place where the original apothecary shelving, marble counters, and tiled floors have been incorporated into an elegant contemporary design. The best-value luxury stay on the main boulevard.
Hlemmur
Canopy Reykjavik is the most design-forward new hotel in the city, occupying a striking contemporary building in the Hlemmur food hall district with Nordic-minimal interiors, a rooftop hot tub with mountain views, and a genuine connection to the local neighbourhood rather than the tourist strip. Consistently one of the city's best hotel openings.
Hlemmur
A sleek, design-driven boutique hotel at the eastern end of Laugavegur near Hlemmur square, Alda delivers Nordic-minimal interiors, well-proportioned rooms, and excellent value at the quieter end of the main shopping street. One of the city's best boutique options for independent travellers who want design without the premium price.
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Common Questions
Vesturbær is ideal for families, museum enthusiasts, and travellers who want a quieter, more residential Reykjavik experience with access to the geothermal beach and university cultural district.
Vesturbær is known for the National Museum of Iceland, the geothermal Nauthólsvík beach, the University of Iceland, and the traditional corrugated-iron architecture that defines old Reykjavik.
Vesturbær is connected to the city centre by several bus routes and is a 20-25 minute walk from Laugavegur. Parking is easier here than in the city centre.
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Prices and availability change daily. Lock in the best rate by booking early — most of our top picks offer free cancellation.
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