3 Best Hotels in Hveragerði, Reykjanes Peninsula and the South Coast (with the Golden Circle)

Sitting proudly alongside the Varmá River, the Frost and Fire hotel offers proximity to nature while just a short walk from shops and restaurants. No need to go far for dinner though—the excellent Varmá restaurant is right next door.

This leafy locale feels distinctly upscale, with lots of plants, high-end design, cozy rooms, and a trendy clientele. The boutique spot prizes sustainability and eco-friendly choices above all else. In fact, many of their materials are recycled, upcycled, or used. Make sure to try out their popular food hall Mathöll Suðurlands and peruse their shops. 

This charming country hotel dedicated to the Icelandic horse is located right off the Ring Road, only a few minutes’ drive from Hveragerði. Each room is simple but bright, with a private bathroom and a door that leads directly outside. There's also a hot tub to relax in after a long day of riding.