ReasonStay
Reykjavik · where to stay

Hlemmur & Rauðarárholt

Best for value-minded stays near the action

Stunning aerial shot of Hallgrímskirkja in Reykjavik, Iceland, at sunrise showcasing the city's architecture. Iceland · ISK

← Where to stay in Reykjavik

In short

Hlemmur and Rauðarárholt sit just east of the main strip, around the Hlemmur food hall and bus hub. The area blends everyday city life with quick access to downtown, making it a practical, value-minded base that stays close without being in the busiest part.

You're at the eastern end of Laugavegur, where the shopping street meets Hlemmur, a lively food hall and transport interchange. The surrounding streets are more workaday and residential, so evenings are calmer than the central strip, yet the bars, restaurants and Hallgrímskirkja are all within a short walk.

Getting around

Hallgrímskirkja and the main strip are roughly a 5–10 minute walk, and Hlemmur is a key city bus hub. Airport coaches to Keflavík (KEF) run from nearby central stops, taking about 45–50 minutes.

Sunlight filters through the modern cathedral's arched ceiling showcasing architectural elegance.
Good to know

Before you book this area

Vibe
Everyday, unpretentious city life with a well-known food hall at its centre.
Convenience
Hlemmur's bus hub makes onward travel and reaching other neighbourhoods easy.
Budget
Often a more practical, less touristy base while staying walkable to downtown.
Good to know

Frequently asked

How close is it to the main strip?

Very — you're at the eastern end of Laugavegur, so the shops, bars and food are a short walk away.

Is the Hlemmur bus hub useful for visitors?

Yes, it's a central interchange for city buses and handy for reaching greener areas or connecting across town.

Next

Comparing areas? See the full Reykjavik area guide →

An independent guide to Hlemmur & Rauðarárholt, Reykjavik — honest orientation, no invented data.