Known locally as "Marina," it is located at the harbor but is also very close to the city center with its myriad shops. Moreover, there are about a dozen restaurants within a five minute walk, some high end, many economical fish and chips places. So location is great. Kopar and Kasbah were two restaurants we liked. There is also "Burgerjoint" across the street. We didn't eat there but locals really seem to like it.
Secondly, service was great. One employee helped me get my boarding passes; another helped me set up my 110-230 volt converter so that I could use my CPAP. Very service-oriented and friendly staff (everyone in Iceland is friendly!).
Thirdly, breakfast is great. Usual items like bacon and eggs and potatoes, but also tuna salad, pickled herring, lots of good breads, lunch meat and cheese, and fruit. Hearty breakfast meant we really didn't need to eat lunch and that saved us a bit of money.
There is a bar called Slippbarrinn on the premises where breakfast is served. It also serves light meals and of course drinks.
Another positive feature--I could open the window next to the bed, which helped cool down the room at night.
On the other hand, I can't give it a five star because the room is very small with little space for suitcases. And it is expensive--nearly $400.00 a night, breakfast included, but hotels in high season Reykjavik are expensive.
All in all, a very positive experience at this hotel and in Iceland!
