Best Hotels with Restaurants in Iceland — Biggest Selection & Lowest Prices Guaranteed

Finding a good meal after a long day of exploring should be easy. Excursions along the South Coast, Golden Circle, and Ring Road often end late, sometimes around 9:00 or 10:00. If you stay at a hotel with its own restaurant, you don’t have to worry about where to eat. You can count on a hot meal when you return.

Iceland’s best hotel restaurants offer high-quality food, not just convenience. They serve local dishes like lamb, Arctic char, and vegetables grown in nearby geothermal greenhouses. Some offer Michelin-starred tasting menus, while others provide simple farm stays with views of the surrounding landscape.

Discover the best hotels worth planning your entire itinerary around on this page. Each one offers a unique dining experience that can be a highlight of your stay.

Best Hotels with Restaurants in Reykjavik

Reykjavik has the widest selection of hotels with restaurants in Iceland, from casual gastropubs to fine dining rooms drawing locals and visitors alike. Most downtown hotel restaurants serve dinner until at least 10:00 pm, which works well for guests returning from day trips. 

Take note that reservations are recommended for popular spots, particularly if your table will also attract non-guests.

• Apotek Hotel Reykjavik — Housed in a restored 1917 apothecary, Apotek Kitchen + Bar specializes in Icelandic and European dishes cooked on an Argentinean grill. Their seven-course tasting menu is a local favorite. 

• Hotel Holt — This hotel is well known for its private art collection and refined atmosphere. Its former formal dining room is now a relaxed lounge and bar, offering a cultured stay with breakfast and evening drinks.

• Iceland Parliament Hotel — This Curio Collection property features Hja Joni, where the kitchen serves until 21:30, and a telebar that stays open late into the night. It is a convenient choice for guests returning from Golden Circle tours in the evening.

• Center Hotels Grandi — Located in Reykjavik’s trendy maritime district, this hotel offers a chic, industrial-inspired stay near the Old Harbor. Its on-site restaurant, Hédinn Kitchen & Bar, is set in a beautifully restored historical building.

• Center Hotels Laugavegur — Located on Reykjavik’s main shopping street, Laugavegur, this urban boutique hotel places guests in the heart of the city’s activity. It features Loa Bar-Bistro, a nature-inspired dining space serving a mix of Icelandic favorites and Mediterranean-style plates. 

Top Hotels with Bars in Reykjavik

Staying at Reykjavik hotels with a premier bar program offers a built-in social scene and world-class mixology. These properties feature everything from award-winning cocktails to the country’s finest whisky selections. 

Guests of hotels with bars in Reykjavik benefit from stylish lounges and panoramic rooftops. These provide the perfect atmosphere to unwind without ever leaving the hotel.

• 101 Hotel Reykjavik — It is a design hotel in central Reykjavik with a full restaurant and bar that attracts a stylish local crowd. Its bar stays lively into the night and offers a smart casual atmosphere for drinks and dinner.

• Canopy by Hilton Reykjavik — This boutique hotel blends its history as a furniture factory with modern Scandinavian design. Its Geiri Smart Restaurant also serves as a relaxed bar and social space, staying open late for guests returning from evening tours.

• The Reykjavik EDITION — This design-forward hotel offers a polished, upscale stay in the capital. Its Tides restaurant and accompanying bar are highlights of the property.

• Hotel Reykjavik Saga — This centrally located hotel offers city views and a relaxed atmosphere. Its restaurant-bar, Fröken Reykjavik, serves dinner and drinks in a casual setting without a fine dining focus.

Best Hotels with Restaurants Near Keflavik Airport

Staying in hotels near Keflavik Airport is a practical choice for travelers with late arrivals or early departures. These properties offer comfortable rooms and on-site dining just minutes from the terminal. 

Guests can also conveniently book tours at the Reykjanes Peninsula through the hotel staff to explore the nearby volcanic landscapes.

• Courtyard by Marriott Reykjavik Keflavik Airport — Located near Keflavik Airport, this hotel features The Bridge restaurant, which serves breakfast, lunch, and dinner with hours suited to late transatlantic flights. It's a practical and reliable option that allows guests to eat well without needing a taxi or rental car.

• The Retreat at Blue Lagoon Iceland — A luxury hotel located about 20 minutes from Keflavik Airport that features Moss, a Michelin-starred restaurant serving seasonal tasting menus from Wednesday to Sunday. Hotel guests receive priority seating, and Lava Restaurant offers more casual on-site dining.

Top Hotels with Restaurants on the South Coast and Golden Circle

Iceland's South Coast and Golden Circle are popular routes in Iceland. Many tours in this region finish around 9:00 to 10:00 PM, making hotels with restaurants here important. Having a kitchen waiting for you after glacier tours or waterfall excursions is worth considering when booking.

• Hotel Ranga — A riverside hotel located about 90 minutes from Reykjavik, offers an elegant yet relaxed atmosphere. Its restaurant serves local dishes such as smoked puffin, reindeer carpaccio, and wild mushroom soup that has been on the menu for nearly two decades.

• ION Adventure Hotel — This mountainside hotel in Thingvellir National Park offers a dramatic setting for a Nordic-style stay. Its restaurant serves modern Nordic cuisine using sustainable, farm-fresh ingredients, with highlights including slow-cooked Arctic char, locally sourced lamb, and Icelandic Skyr brulee.

• Efstidalur Farm Hotel — Located at the heart of the Golden Circle, this seventh-generation dairy farm offers a unique farm stay experience. Its on-site restaurant lets guests dine while looking directly into the cow stable and serves home-grown beef and burgers topped with local skyr sauce.

• Frost & Fire Boutique Hotel — This boutique hotel in Hveragerdi, located about 45 minutes from Reykjavik, sits on a geothermal river. Its Varma restaurant serves Icelandic produce in one of the region’s most atmospheric settings.

• Hotel Geysir — Guests can enjoy convenient meals on-site without needing to drive further after a long day. This hotel is located steps from the Geysir Geothermal Area and offers multiple dining options for Golden Circle travelers. 

• Hotel Grimsborgir — Located near Thingvellir, this countryside hotel offers an upscale retreat for travelers exploring the national park. Its on-site restaurant serves a diverse menu in a refined setting.

• Umi Hotel — This design-forward hotel at the foot of the glacier-capped volcano Eyjafjallajokull offers high-end dining with ocean views. Its location is ideal for guests visiting nearby waterfalls and glaciers.

Best Hotels with Restaurants in West Iceland

West Iceland's remote highlands and the Snaefellsnes Peninsula offer dramatic scenery but limited dining outside of hotel properties. In this region, an on-site restaurant is less of a perk and more of a necessity.

Guests can also easily book tours at the Snaefellsnes Peninsula through the hotel’s concierge to explore nearby glaciers and volcanic fields.

• Hotel Husafell — Set near Langjokull Glacier and the Hraunfossar waterfalls, this hotel houses a high-quality restaurant that is one of the only dinner options in the area. The kitchen caters well to guests returning from glacier tours and lava cave expeditions.

• Hotel Budir — Located on the Snaefellsnes Peninsula and surrounded by lava fields, this remote and romantic hotel offers an on-site dining room due to its isolated location. The restaurant serves fine dining focused on fresh Icelandic seafood and local lamb.

Top Hotels with Restaurants in North Iceland

North Iceland's smaller towns have fewer dining options after dark, and a hotel restaurant can be the difference between a satisfying evening and a long drive in search of food.

• Siglo Hotel — Tucked in the scenic fjord town of Siglufjordur, this hotel features Sunna Restaurant overlooking the marina and fishing pier. The menu highlights Scandinavian and European cuisine, including Arctic char and locally caught salmon.

• Hotel Siglunes — Tucked in the center of Siglufjordur, this intimate boutique hotel features an on-site restaurant serving authentic Moroccan cuisine made with local Icelandic ingredients. It is a great choice for travelers seeking a flavorful alternative to traditional Icelandic cuisine.

• Fosshotel Myvatn — Located near Lake Myvatn and well positioned for exploring the Diamond Circle, this modern hotel features an on-site restaurant with floor-to-ceiling windows and panoramic views of the volcanic landscape.  

• Fosshotel Husavik — Set in North Iceland’s whale-watching capital near the harbor, this hotel offers an on-site restaurant serving Icelandic and international dishes. It is a convenient option for guests returning from boat tours or northern lights excursions.

Best Hotels with Restaurants in East Iceland

East Iceland rewards travelers willing to venture beyond the main tourist routes. These remote hotels provide a genuine taste of local ingredients through their on-site restaurants far from the capital. 

Staying in East Iceland hotels ensures high-quality meals are always available after a long day of exploring the Eastfjords.

• Gistihusid Lake Hotel Egilsstadir — Situated beside Lake Lagarfljot in Egilsstadir, East Iceland’s largest town, this hotel features the Eldhusid restaurant, a local dining destination. The menu highlights regional produce, complemented by a calm lakeside setting.

Planning Your Stay at the Best Hotels with Restaurants in Iceland

Iceland's hotel restaurants have become a genuine part of the country's food story, not just a convenience for tired travelers. Planning ahead, knowing when to book, what to expect, and how hotel dining works, can make a real difference in your experience, especially outside Reykjavik, where options are more limited.

• Prioritize hotels with late kitchen hours — outside Reykjavik, dining options thin out fast, and some rural properties stop serving as early as 9:00 pm

• Check dinner service times before booking — especially if your itinerary includes evening tours that may wrap up late

• Book your restaurant reservation when you book your room — popular spots like Ranga and Moss at The Retreat fill weeks in advance during peak summer

• Ask if the hotel holds tables for guests — many hotels save a few spots for people staying overnight, but they still fill up, so it’s always best to give them a heads-up

• Budget 32 USD – 64 USD (4,000–8,000 ISK) for a standard main course — this covers everything from farm-style burgers to hotel-grade lamb

• Choose hotels that include breakfast in the hotel rate — it meaningfully offsets daily food costs in a country where eating out adds up quickly

• Pack smart casual attire if you're staying at upscale hotels with restaurants — places like Hotel Ranga and Hotel Budir are more formal, so make sure you’re dressed decently

• Pack light and casual for farm and country hotel stays — stays like Efstidalur Farm Hotel and Hotel Geysir, are much more rugged, welcoming guests straight from the hiking trail

Making the Most of Iceland’s Hotel Dining Scene

Choosing the perfect hotel with restaurants in Iceland can turn a standard stay into a journey highlight. 

You might find yourself eating farm-made ice cream while watching the cows at Efstidalur or enjoying a Nordic tasting menu at Silfra Restaurant as the valley glows outside. Whether you prefer rustic charm or Michelin-starred luxury, these hotel restaurants in Iceland provide unforgettable flavors that truly define the local food story.

Book your hotel rooms and tables early, check the serving hours before you arrive, and let dinner become part of your Icelandic adventure.