Axel's take on Laugavegur & Hallgrímskirkja: #2 of 5 in Reykjavik, 8.4/10
Choose this for shopping and nights out, with quieter streets toward the church. Excellent access and strong hotels put Laugavegur close behind Old Town, with slightly better value but less historic character.
Laugavegur puts shops, bakeries and bars outside the door; Skólavörðustígur climbs through galleries and the rainbow-painted stretch to Hallgrímskirkja. Sundhöllin adds a neighbourhood pool rather than another sightseeing stop. This is the strongest choice for shopping and LGBTQ+ nightlife, with Kíkí on Laugavegur rather than in a separate gay district.
The important distinction is the street, not just the postcode: a room above Laugavegur's bars is a different proposition from a side street near the church. Recent visitor discussions favour streets south of the main drag when noise matters. Skip a main-street room if you need an early night before excursions.
- Best for: first-time visitors, nightlife, shopping, LGBTQ+ travelers
- Skip it if: You are a light sleeper considering a main-street room; You dislike busy shopping streets
- Getting around: Bus 14 runs along nearby Hverfisgata; the church, shopping streets and downtown are walkable; KEF: Flybus via BSÍ and a booked onward shuttle; RKV: taxi.
- After dark: Laugavegur becomes a bar-hopping street; visitors seeking less noise favour nearby residential streets rather than the main frontage.
- Rates: Typical Axel rate $247 a night · usually 7% under the public rate
Where to stay in Reykjavik: every neighborhood ranked
Where to look in Laugavegur & Hallgrímskirkja
- Laugavegur, Klapparstígur to Barónsstígur. Stay along this shopping stretch for cafés, shops and nights out; main-street convenience comes with evening bustle. Hotels here: Reykjavik Residence Apartment Hotel, Alda Hotel Reykjavik, Skuggi Hotel by Keahotels, Center Hotels Laugavegur, Hotel Fron, Center Hotels Klöpp, Fosshotel Barón.
- Hallgrímstorg. Start around the church square for sightseeing uphill from the main shopping street, rather than directly along its bar frontage. Hotels here: Leifur Eiriksson Hotel.
- Barónsstígur by Sundhöllin. Choose the pool end of Barónsstígur for swimming between outings, with the church and shopping streets nearby. Hotels here: Hostel B47.
How to choose
- Choose Reykjavik Residence Apartment Hotel if you need family-friendly kitchen facilities and apartment space without giving up daily housekeeping and reception support.
- Choose Skuggi Hotel by Keahotels if you value included breakfast and a chance of free parking more than spacious rooms.
- Choose Center Hotels Klöpp if you want the lowest rate here and helpful reception, and can sleep through nearby pub noise.
What paying more buys
Center Hotels Klöpp is cheaper than most here but has compact, sometimes tired rooms and pub noise. Reykjavik Residence Apartment Hotel costs more for kitchenettes, generally praised space and daily housekeeping; Alda adds a gym, sauna and hot tub. Those extras are less worthwhile for travelers spending all day out, especially since higher rates do not guarantee quiet. Typical rates with Axel here run from $170 a night at Center Hotels Klöpp to $300 at Reykjavik Residence Apartment Hotel (last 30 days).
The best hotels in Laugavegur & Hallgrímskirkja, ranked by Axel's take
Each hotel scored for what it is by Axel's own review; the rate is one stay Axel priced this week, beside the public rate for the same dates.
- Reykjavik Residence Apartment Hotel 9.2/10, upscale 4-star apartment hotel spread across downtown buildings. An excellent downtown base with apartment independence and unusually consistent service. Why it's here: apartment independence with kitchenettes, generally praised space and unusually consistent hotel support. Accept: some street noise; your building is confirmed on arrival day. $166 a night with Axel; no public rate was seen for these dates. Sign up free to book this rate
- Alda Hotel Reykjavik 8.8/10, contemporary 4-star city hotel on Reykjavik’s main shopping street. A strong central base with helpful staff, but choose your room carefully. Why it's here: helpful reception and sauna, hot-tub and gym facilities directly on Laugavegur. Accept: small entry-level rooms, no air conditioning and some noise. $162 a night with Axel; no public rate was seen for these dates. Sign up free to book this rate
- Skuggi Hotel by Keahotels 8.7/10, minimalist 3-star city hotel near Laugavegur. A strong Reykjavík base, with breakfast and parking that add real value. Why it's here: included breakfast and limited free parking make a useful package for road-trippers staying near Laugavegur. Accept: compact, dark rooms; free parking is not guaranteed. $151 a night with Axel; no public rate was seen for these dates. Sign up free to book this rate
- Center Hotels Laugavegur 8.7/10, modern, comfort-focused 4-star on Reykjavík’s main shopping street. A strong city base with helpful staff, compact rooms and effortless tour pickups. Why it's here: easy Bus Stop 9 access and helpful round-the-clock reception for organized day trips. Accept: small entry-level rooms and street or tour-bus noise. $171 a night with Axel against $202 a night on Expedia for the same dates and party: $31 a night less (15%). Sign up free to book this rate
- Hotel Fron 8.3/10, practical 3-star hotel with rooms and apartments on Reykjavik’s main shopping street. A strong downtown base, provided you can live with nightlife noise Why it's here: cheaper kitchen-equipped apartments for families who want to stay directly on Laugavegur. Accept: weekend bar noise, variable layouts and steps in some buildings. $151 a night with Axel against $157 a night on Expedia for the same dates and party: $6 a night less (4%). Sign up free to book this rate
- Leifur Eiriksson Hotel 8.2/10, simple, family-run 3-star opposite Hallgrímskirkja. A strong sightseeing base with welcoming staff, but little room to spread out. Why it's here: a cheaper church-side base with welcoming staff and convenient Bus Stop 8 access. Accept: no elevator, and rooms and bathrooms can be very small. $199 a night with Axel against $253 a night on Expedia for the same dates and party: $54 a night less (21%). Sign up free to book this rate
- Center Hotels Klöpp 8.1/10, simple 3-star in central Reykjavík’s nightlife district. A strong downtown base with helpful staff, but nightlife can compromise sleep. Why it's here: the lowest rate here with helpful reception close to shopping and excursion pickups. Accept: late pub noise and compact, sometimes tired rooms. $151 a night with Axel against $176 a night on Expedia for the same dates and party: $25 a night less (14%). Sign up free to book this rate
- Fosshotel Barón 8.0/10, simple 3-star near Reykjavík’s waterfront and main shopping street. A practical Reykjavík base, stronger on location and service than rooms. Why it's here: helpful reception and access to both the waterfront and Laugavegur for sightseeing-focused stays. Accept: dated rooms, cramped showers and housekeeping only on request. $188 a night with Axel against $234 a night on Expedia for the same dates and party: $46 a night less (20%). Sign up free to book this rate
- Hostel B47 7.7/10, simple, self-service hostel near Hallgrímskirkja. A practical budget base with excellent walkability, but little hands-on hospitality. Why it's here: a shared kitchen and free parking beside Sundhöllin for independent travelers and groups. Accept: mostly shared bathrooms, limited staff and noise from fellow guests. $254 a night with Axel; no public rate was seen for these dates. Sign up free to book this rate
