Long a beloved destination for more intrepid travelers, Iceland has a new wave of hotels and restaurants elevating the experience to plush new heights
Iceland has long held a treasure trove of wonders—wonders that until recently were really only accessible by the most intrepid of backpackers and snow bunnies. But as your Instagram feed surely attests, the last few years have seen tourists from all over the world flock there to hike glaciers, scuba dive through tectonic plates, and experience the northern lights. Foodies try fermented shark and Iceland’s famous rye bread. But still all of that rugged beauty was met by equally, shall we say, rustic accommodations.
That is, until this year, which has seen a luxury boom hit the Land of Fire and Ice. You can now spend the day soaking in the iconic Blue Lagoon and then check into a five-star property without ever slipping out of your plush white robe. You can book a suite in a design hotel in downtown Reykjavík that gives you your own private sauna to relax in before dinner, and down the street you can enjoy a tasting menu in a tiny, hidden restaurant that won the country’s first Michelin star last year.
Luxury certainly looks good on Iceland—read on to discover why.
The Retreat

A regular trip to the Blue Lagoon already feels like an escape: You spend the day soaking in glowing blue hot springs surrounded by Iceland’s volcanic landscape. But now with the new five-star Retreat Hotel, which made its splashy debut earlier this spring, the experience is even better. From your sleek guest room you’ll have round-the-clock access to the lagoon, so you can soak under the midnight sun or the northern lights. There is also a spa, where you can get wrapped in natural salt scrubs or enjoy a heavenly in-water massage. The hotel’s Moss Restaurant tops off the wellness experience with healthy, creative takes on Iceland’s most sacred recipes.
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