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For a city the size of Portsmouth, Reykjavik has a strong personality full of charm and idiosyncrasies. The Icelandic capital’s blend of early 20th-century multi-coloured corrugated-iron homes and solid grey 1960s low-rises lies against the backdrop of a chilly North Atlantic bay, the majestic Mount Esja and ancient lava fields. So safe that locals leave their babies to sleep in prams on the main shopping street, the city’s seemingly staid exterior hides a simmering creativity and the energy of the Vikings and Celts from whom the inhabitants are directly descended. In winter the limited daylight is snug and cosy (Reykjavik is on latitude 64, further north than most of Alaska), but from May until August the endless light revitalises the entire city.

Reykjavik’s nightlife is well known, but as a place in which everyone seems to sing in a choir, play an instrument, design clothes or create paintings, its cultural and arts scene is worthy of equal attention. So too is the capital’s proximity to nature: seals are often spotted along the shoreline and a salmon river lies within the city limits. Reykjavik, which means ‘smoky bay’, is one of the greenest cities on earth, and 70 per cent of Iceland’s energy comes from renewable sources.

Iceland has been deeply affected by the credit crunch, but it makes what was once an expensive city simply more affordable. Once you’ve finished sneaking into hidden art galleries, soaking in the outdoor geothermal pools and sipping lattes in trendy cafés, use Reykjavik as a base to explore Iceland’s spectacular countryside. Hiking, fishing, diving, snowmobiling and horseback riding are all within a short drive of the capital, while the unforgettable landscape includes lava fields, lush valleys, hot springs, and countless waterfalls.

You can preview the Best Hotels featured in our Globalista Report below. Or buy the full Globalista Report for this destination, available at the bottom of the page.

There are no five-star hotels in Reykjavik, but many of the four-star establishments leave little to be desired in terms of service and comfort. The oldest, Hotel Borg, was traditionally the political nerve centre of Iceland, across the small Austurvöllur Square from the Althing, Iceland’s parliament. It was completely renovated in 2006 – to the extent that the roof was lifted and a new floor added – and, in homage to the hotel’s 1930 opening, decorated in art deco style. The spacious rooms all have leather furnishings by Baden Baden-based Art Deco, while the eight suites have more modern accents with Bang & Olufsen televisions and Hastens beds. Hotel Borg is probably best recommended for weekday stays, however. Although quadruple-glazed windows were installed as part of the renovation, that’s not a guarantee they can completely block out the cheers of Reykjavik’s notoriously rowdy weekend revellers. 
  

For art lovers, there is no better place to sleep than Hotel Holt, one of the city’s most revered institutions. Don’t be put off by the drab exterior and kitsch logo – behind the frosted glass lies a wonderful enclave of comfort. Although the old-fashioned furnishings are in need of a re-vamp, each of the 40 rooms displays numerous examples of original Icelandic art – indeed, the hotel has one of the largest privately held art collections in the country. That and its famed restaurant, the Gallery, have kept Hotel Holt, in the central but quiet Thingholt neighbourhood, in the top tier of the capital’s accommodation since opening in 1965.

A short walk from the Holt is Hotel Ódinsvé, a friendly family-run place with 43 bright rooms of varying size, all decorated in typical Scandinavian style: light wood, cream tones and pristine bathrooms. Popular with business and leisure guests alike, what it lacks in glamour Hotel Ódinsvé makes up for in unpretentious, personalised service. Its location, a few minutes walk from the main shopping street but in the heart of a quiet residential area, is also an asset.


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Reports

Globalista’s Pick of the Press

20 June 2009 - The Independent - The Complete Guide to: Iceland
11 January 2009 - The New York Times - 36 hours in Reykjavik
24 December 2008 - The Daily Telegraph - Suddenly affordable, now utterly irresistable
22 November 2008 - The Guardian - Fresh and wild restaurants
18 May 2009 - The Guardian - No Wonder Iceland has the Happiest people on Earth

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