Housed in a traditional 19th-century Icelandic townhouse, Kvosin
Downtown Hotel underwent a clever renovation in 2013, which saw it
purposefully reimagined with the modern traveller in mind. The
property’s 24 apartments fall across four different room
categories: Cosy, Big, Bigger and Biggest. That weekend getaway
with your gang? The bigger room is for you. Sleeping up to four,
king-sized beds are lined with linen cushions, nightstands are
topped with fresh bouquets and an open-plan living area comes
complete with a cosy sofa and knitted throws. Our favourite part,
aside from the airy en-suite stuffed with organic toiletries, is
the slick kitchenette, which offers all the luxury trimmings –
think a marble-topped island, leather stools and a selection of
handcrafted tableware. Skip to the ground floor to find a
whisky-soaked menu at Klaustar Bar, where over 40 different labels
are on offer – in addition to a selection of Spanish-style tapas
bites.

The 2018-opened Exeter Hotel occupies two different buildings –
the first, a refurbished steel-faced warehouse; the second, a muted
brown six-floor edifice. The result? An industrial-chic
home-from-home to fall in love with. Bedrooms all embody a
minimalist ethos, with exposed stone, polished concrete, rich woods
and matte-black detailing. Downstairs, a fully equipped fitness
space is the place to work up a sweat, before soothing tired
muscles in the adjacent sauna. There’s also a top-notch in-house
restaurant, LeKock, which rustles up street-food-inspired plates
spanning cheese-stacked burgers to spicy kebabs and bagel
sandwiches. You’ll know where to find us.

Nordic urbanites will quickly tell you that 101 Hotel is the
coolest crash pad in Iceland’s capital – and we’d have to agree
with them. A sense of creativity can be found etched throughout
every inch of this 38-key stay, which is the brainchild of talented
designer Ingibjörg S. Pálmadóttir. Private quarters, which offer
sweeping vistas of the dramatic Mount Esja, adopt a monochromatic
approach, but one that is made cosy by the addition of enormous
rugs and feather-lined quilts. Kick-start your digestive system
with a trip to the buffet-style breakfast, where Icelandic cheeses,
grains and granolas demand at least three visits. After a
culture-rich day of sightseeing, retreat to the spa, where an
intimate steam room and Jacuzzi await. Or, alternatively, head
straight to in-house Kitchen and Wine to savour local fare and
exceptional cocktails. Art lovers, meanwhile, will enjoy the
hotel’s gallery, which showcases a collection of artworks from
local creatives.

Well-thought-out interiors echo Iceland’s natural beauty – all
earth-toned hues fused together with glass inserts and art deco
touches – at Ion City Hotel. All 18 rooms feel soothingly snug
thanks to the use of oak flooring, mid-century furniture and
leather details. The real drawcard, however, are the bathrooms,
which each come with their own private sauna – a feature we’d argue
is a visiting point in its own right. What about the food offering,
we hear you cry… Put it this way, head chef Jakob Zarioh conjures
up creative Icelandic cuisine with North African and Lebanese
influences – a fusion we can only describe as what foodie dreams
are made of. If the octopus and chilli is on the menu, order
it.

Sitting pretty in the heart of the city’s achingly cool
Laugavegur neighbourhood, Sand Hotel is situated above the
legendary family-run Sandholt Bakery – cherished since 1920 for its
artisan breads and exquisite pastries. Inside, nods to the city’s
heritage seamlessly blend with contemporary flair through
sculptures and artworks. Rooms get the job done with their
springboard-like beds, but it’s the all-marble bathrooms that we
can’t stop thinking about. Step into spacious rainfall showers,
sink into pool-sized bathtubs and snuggle into fight-ready robes.
There’s a strong sense of community embedded in the property, an
element that can be traced through the kindness of its staff, who
will happily provide you with a list of must-visit local
hotspots.

This biscuit factory turned hip hostel is the epitome of
Icelandic cool: Kex has its own brewery, stellar restaurant and
regular live-music events. The ideal setting for those seeking a
great vibe without breaking the bank, private rooms have a
distinctive home-from-home aesthetic – plus, plenty come with a sea
view. It’s the social spaces that have us stuffing our suitcases,
though. With a cosy library, gastropub, gym and pop-up barber, this
is the sort of place you end up departing having made at least five
new best mates.

Dynamic husband-and-wife-duo Linda Jóhannsdóttir and Ellert
Finnbogason have created an idyllic escape in Eyja Guldsmeden
Hotel. Offering spectacular city views, bedrooms are decorated with
four-poster beds, lantern lights and warm wood. Breakfast is served
in an airy setting where potted plants, cow-print chairs and
enormous communal tables make way for fruit platters and fry-ups.
You won’t find a huge line-up of in-house amenities, but the
location more than makes up for it. Our favourite hangouts? Port 9
for its wine cellar, Kaolin for its pastel-hued ceramics and Salka
Valka for its freshly caught seafood.