The Best Hotel in East Iceland and the Eastfjords, Iceland

Evidence that Icelanders will renovate almost any building to turn it into a guesthouse, the Milk Factory was once—you guessed it—a milk factory, and the stylish redesign has resulted in modern, minimalist rooms, including family rooms that sleep four (with beds on a mezzanine level). It's a friendly place with thoughtful touches, and it's open year-round.