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The 10 great hostels and hotels on the Reykjanes Peninsula

Many visitors to Iceland race to Reykjavik as soon as they land, but they’re missing out on a region that’s one of the most impressive in the country. So, instead of staying in the capital, why not choose to book at least a few nights in the Reykjanes peninsula and do some exploring. There’s plenty of accommodation to choose from, no matter whether you’re looking for a fancy hotel or a budget hostel. Here are our picks for the top nine hostels and hotels on the Reykjanes Peninsula.

Silica Hotel

Contemporary luxury is yours for a price if you choose to stay at the beautiful Silica Hotel. One of two properties at the famous Blue Lagoon spa, this is a fabulous place if you have the budget to splurge. Rooms overlook moss-covered lava and a lunar landscape.

Ocean Break Cabins in Sandgerði

Close to Keflavik airport and The Blue lagoon sit the Ocean Break Cabins which truly stand under their name. These beautiful country style cabins are well equipped for travelers with a private hot tub which you can relax in after a busy traveling day. We highly recommend taking walks to enjoy the stunning views on the coastline.

Retreat Hotel

Swanky Retreat Hotel is arguably the best hotel in the country, though you’ll need deep pockets to stay here. Elegant and sophisticated, guests here can expect to be pampered and indulged in the most breathtaking of locations beside the Blue Lagoon. Save up and treat yourself.

Hotel Berg

This Scandi chic gem is effortlessly stylish, from its sleek exterior cladding to the cleverly designed rooftop pool. One of the best boutique hotels on the Reykjanes peninsula, it’s located just a few minutes from the airport but once you set eyes on the place, you’ll want more than an overnight stay.

iStay cottages

Design is a big deal at iStay cottages, but the price tag is surprisingly affordable. These smart self-catering units are big on wood cladding. They share access to a central bathroom block and convivial kitchen. Best of all they’re a stone’s throw from the airport – ideal for an early departure.

START

START Hostel bills itself as a hostel that feels like a hotel, and this family-run establishment works hard to ensure guests feel welcome. Affordable and comfortable, it offers wallet-friendly dorms as well as rooms with private or shared facilities. Linen and towels are provided and there’s free WiFi in all areas.

Northern Light Inn

Northern Light Inn overlooks the same power station that’s responsible for supplying the water for the Blue Lagoon. Out in the countryside, this place is surrounded by nature and, as its name suggests, an ideal spot for watching the Aurora Borealis. Wellness facilities and a top notch restaurant make this a tempting option.

Courtyard by Marriot

Cortyard is a brand new hotel that sits close to Keflavik Airport and is the perfect place if you want to enjoy comfortable rooms and beautiful surroundings close to the town of Keflavik. With its scenic views and a great restaurant, guests will enjoy state-of-the-art facilities and beautiful Scandinavian design. This hotel is also the perfect place for business meetings, corporate training, events and incentives which you can combine with some activity in the Reykjanes Peninsula area.

Kef Guesthouse

This recently renovated guesthouse is just a few kilometres from Keflavik Airport and a similar distance from the centre of Reykjanesbær. Rooms are well appointed and modern; some have shared bathrooms helping those who wish to keep the cost down. Guests will also appreciate the airport shuttle service and free WiFi.

Hotel Keflavik

This four star hotel is big on style and offers guests a warm welcome. It boasts one of the largest fitness suites in Iceland, complete with sauna and solarium. Guests also rate the restaurant, with its glass roof. Upgrade to a top-floor Diamond Suite, which feature a Bang & Olufsen television and other welcome touches such as an iPad. Some also have their own hot tub.