The Best Boutique Hotels in Iceland

Iceland is the queen of quirk. From elves to fermented shark and all wool everything, its incredible Scandi-chic hotels fit right in. Here’s seven of the coolest in the ‘Land of Fire & Ice.’

Retreat At Blue Lagoon (Credit_ Blue Lagoon Iceland)

Retreat at Blue Lagoon

5 Stars | Website | Reykjavík Keflavík Airport

62 | Outdoor furniture; Free WiFi; Spa | 3

Blue Lagoon; Þorbjörn Mountain; Kleifarvatn lake

This super swanky hotel is the best way to experience Iceland’s famous Blue Lagoon. Guests have access to the retreat’s less-packed lagoon with views of the moss-covered lava or the silica water from its minimalist chic rooms.

Kvosin Downtown Hotel (Credit_ Kvosin Hotel)

Kvosin Downtown Hotel

4 Stars | Website | Reykjavík Domestic Airport

22 | Garden; Free WiFi; Terrace | 1

The Parliament House; Reykjavík City Hall; Reykjavik Old Harbour

Lodging inside this historic building is super spacious for a city-center hotel. High ceilings let in natural light, exposing herringbone parquet floors and art-deco-inspired furniture. In typical Icelandic fashion, each room is named after local folklore.

Hótel Búðir

Hótel Búðir

4 Stars | Website | Bildudalur Airport

28 | Beachfront; Garden; Pet-friendly accommodations | 2

Kirkjufell Mountain; Snaefellsjokull

This charming hotel is located on the remote Snaefellsnes Peninsula, near one of Iceland’s most famous churches. Rooms are simple and understated with homey touches and local artwork, but its renowned gourmet restaurant is its claim to fame.

The Reykjavik EDITION (Credit_ Nikolas Koenig)
Credit: Nikolas Koenig

The Reykjavik EDITION

4 Stars | Website | Reykjavík Domestic Airport

253 | Fitness center; Outdoor furniture; Free WiFi | 1

Reykjavik Old Harbour; The Parliament House; National Museum of Iceland

The only five-star accommodation in town, this new hotel brings the glamor. Timber tiles, fur rugs and rainbow woolen blankets add just the right amount of character. Its views of the famous Harpa Concert Hall aren’t bad either.

Hotel Rangá

Hotel Rangá

4 Stars | Website | Reykjavík Domestic Airport

51 | Sun deck; Free parking; Free WiFi | 1

Þríhyrningur Mountain; Eystri Rangá River

Locally owned on Iceland’s south coast, it’s as eclectic as it is cool. Choose between continent-themed suites or timber-clad rooms with hand-painted murals and pastoral views. The coolest part? The northern lights wake up service when the Aurora Borealis starts to dance.

Deplar Farm

Deplar Farm

4 Stars | Website | Akureyri Airport

13 | Fitness center; Pet-friendly accommodations; Outdoor & indoor swimming pools | 3

Heli-skiing; Lake fishing; Hot spring tours

Ultra-remote and ultra-luxurious, Deplar Farm is incredible. Inside a black turf-roof lodge, guests get an entirely bespoke experience. When you’re not heli-skiing or horseback riding, the lodge has a geothermal pool and swim-up bar, sauna, steam room, cold pool, plus a spa with a flotation tank—all included.

Hotel Kria

Hotel Kria

4 Stars | Website

73 | Garden; Free WiFi; Beachfront | 1

Black Sand Beach; Hatta Mountain; Reynisfjara Beach

Near the black-sand beaches of Vik, these modern and minimalist rooms are cozy with plush bedding and massive windows highlighting the stunning natural beauty. The hotel’s restaurant is a standout with seasonal, local dishes.

Other articles you might like:

About Hotels Above PAr

My Photo

Subscribe to our newsletter

Privacy Policy