Hotel review
Hotel Borg review: Iceland’s oldest luxury hotel, still worth the address
Hotel Borg has faced Austurvöllur square since 1930. Ninety-nine rooms in Reykjavík’s Art Deco flagship, a 2007 refurb that kept the bones, and a bar (Borg Restaurant) that stays alive on a Tuesday. The best classic hotel address in the capital.
Hotel Borg sits on Pósthússtræti facing Austurvöllur square, the political and social heart of Reykjavík. Ninety-nine rooms across five floors, opened by wrestler Jóhannes Jósefsson in 1930, refurbished by the Keahotels group in 2007 and again in 2019. It is the closest thing Reykjavík has to a grand old address: the Icelandic parliament is across the square, Prime Minister receptions still happen in the ballroom, and the Borg bar is the honest choice for a first-night drink.
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What to book, and the alternatives
Hotel Borg (this review)
Book a Superior on the third or fourth floor facing the square. Skip the Deluxe upgrade; the extra space does not justify the $80 per night. The Borg Restaurant on the ground floor is the meeting point.
Price band: $310 to $420 per night shoulder season, $520 peak. Booking.com widget; keahotels.is direct often includes breakfast.
Reykjavík EDITION (design alternative)
The Marriott-EDITION on the harbour, five minutes walk. More design-forward, better breakfast, less central for the parliament crowd. Choose for the Roman-and-Williams interior.
Price band: $450 to $620 per night shoulder season. Booking.com widget; editionhotels.com direct.
Hotel Holt (classic alternative)
The 1965 art-collection hotel a block off Skólavörðustígur. Smaller (42 rooms), quieter, better for a solo traveller who wants the classic without the square-facing bustle.
Price band: $260 to $340 per night shoulder season. Booking.com widget; holt.is direct.
Three practical notes
1. Ask for a square-facing room, not a courtyard
The Austurvöllur-facing rooms (numbers 302, 304, 402, 404) are the reason to book Borg. Courtyard rooms are quieter but face a brick wall. Request the square view explicitly; general Superior bookings sometimes default to courtyard.
2. The bar closes at 23:00 on weekdays
The Borg Restaurant bar is the honest meeting spot for a first drink in Reykjavík. Weeknight closing is 23:00 (not 01:00). For a later night, walk two blocks to Kaffibarinn on Bergstaðastræti.
3. Bakery breakfast is the local move
Borg’s included breakfast is fine. Locals skip it and walk five minutes to Sandholt Bakery on Laugavegur for the ISK 2,400 breakfast plate and the sourdough. Better coffee, honest saving.