My boyfriend and I went to this little cafe' everyday. We rented an apartment one building down and loved walking here in the mornings for our breakfast. I can't drink regular milk, so this place scored major points with me as they had soy...and I could actually enjoy a cappuccino! I loved the cozy chairs and homey atmosphere, as well as their breakfast egg sandwiches and sun-dried tomato panino. They also leave out a little cup of fresh chocolate so that you can garnish your latte or cappuccino. This was a nice touch I didn't see at other places in Reykjavik. Lastly, the prices are reasonable. Doesn't get much better!
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