Best Hotels Near Blue Lagoon

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.

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.

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.

Reykjavik's most sophisticated boutique hotel sits at the top of Laugavegur, the city's famous shopping street, with beautifully designed rooms incorporating Icelandic craft materials — sand, lava stone, and driftwood. The rooftop hot tub with Hallgrímskirkja views and the warm, personal service make it a consistent favourite.

Named for Reykjavik's most fashionable postcode, 101 Hotel is the city's definitive style hotel — a minimalist black-and-white design statement on Hverfisgata with locally commissioned art, exceptional beds, and a bar-restaurant that serves as one of the city's social anchors. A perennially cool address.

One of the world's great hotel experiences, The Retreat is literally built into the lava field around the Blue Lagoon geothermal spa, with private lagoon access from many suites and an extraordinary volcanic landscape setting. The 62-room property delivers an otherworldly experience that is uniquely Icelandic — nowhere else on Earth can match it.