According to the ancient Landnámabók, otherwise known as the Book of Settlements, the first permanent settlement in Iceland was established in Reykjavík (“Smoky Bay”), located on the island’s south-western corner.

Legend has it that Ingólfur Arnarson, a Norwegian fleeing the tyranny of King Harald, chose his landing spot by flinging his two high seat pillars from his boat, then following them to shore—with the pillars finally taking their rightful place on each side of the chieftain’s high-seat, where he would sit within the household.

Today, there is some scepticism as to whether or not Ingólfur actually landed at the exact spot specified in the Book of Settlements. This is because of the low probability of the pillars landing where they did—given ocean currents and land’s distance from the boat—and the likelihood of Ingólfur having logically chosen to settle in close proximity to natural hot springs, knowing the importance of keeping his people warm during the harsh Icelandic winters.

Regardless, the settlement would begin to grow, with the early Norsemen quickly stripping the area for timber and pastures.

“Smoky Bay” implies an early confusion, at least linguistically, between the rising water vapour that emits from the geothermal hot springs so prevalent in Iceland, and smoke. Regardless, these billowing white clouds were enough to inspire the settlement’s name, with the original spelling using an extra ‘r’ (Reykjarvík) until it was abandoned in 1800.

Until the 18th Century, the area we know today as Reykjavík was little more than farmland, reflective of the rest of Iceland at that time. When the Danish monarchy took an interest in stimulating the region’s wool industry, however, a number of mills were built and Danes became the settlement’s primary employer for a number of decades. During this time, other industries such as fisheries and shipbuilding also began to make more of an economic impact.

Due to this development, the town was granted an official charter in 1786 after the Danish abolished their trade monopoly. This date is thus considered to be the city’s founding.

In the following years, Iceland’s capital would see a wave of independence movements, an invasion force, three ‘Cod Wars’, the 1972 World Chess Championships, and even the Reykjavík Summit in 1986, taking place between the U.S. and Soviet Cold War powers. Aside from all of that, the city has birthed some incredible artists over recent years, namely the experimental songstress, Björk, as well as bands such as Sigur Rós, Kaleo and Of Monsters and Men.

Those who visit Reykjavík today will discover a modern European capital that balances contemporary Nordic architecture with historic and traditional buildings.

Homing approximately two-thirds of Iceland’s entire population, guests unravel a city rich in artistic culture, community spirit, music, poetry and love, all the while surrounded by the glittering beauty of Faxaflói Bay and the towering mountain, Esja, that has always overlooked the capital. Many travellers choose Reykjavík as a base from which to explore South and West Iceland, for example by going on a day tour of the Golden Circle or Snæfellsnes Peninsula.

Since 2010, urban development has been accelerating in line with the ever-growing influx of foreign visitors, meaning new hotels and accommodation, new planning projects, new tour operators. In short, Reykjavík is the beating heart of Icelandic culture.

Reykjavik Tours

ATV & Whale Watching Express

Snorkelling in Silfra, Lava Caving & Northern Lights Tour

Unique 4 Hour Lights Observatory & Aurora Hunting Trip with Transfer from Reykjavik

WORK AND PLAY PRIVATE TOUR: Full Day Tour for Investments in Iceland, Power lunch and Sightseeing

Two-Port Whale Watching Boat Tours in Akureyri & Reykjavik

Reykjavík Northern Lights Cruise & Aurora Exhibition

Scenic 8 Hour Horse Riding & Whale Watching Day Tour with Transfer from Reykjavik

Combination 8 Hour Horse Riding & Puffin Watching Day Tour with Transfer from Reykjavik

An Evening of Nordic Culture & Dinner with Live Music at the Nordic House in Reykjavik

Private 2 Hour Reykjavik Sightseeing Adventure with Perlan, Grotta & Hallgrimskirkja

Exhilarating 12 Hour Paragliding & Self Drive Tour of the South Coast with Transfer from Reykjavik

Scuba Diving Adventure | Visit a Shipwreck in Faxafloi Bay

Self Drive Tours

Vacation Packages

Nature Tours

Adventure Tours

Cheap Bus Tours

Tours by Attractions

Top things to do in Iceland

Find the Northern lights

Explore an Ice cave

Go on a Road trip

Do the Golden circle

Visit Reykjavik

Bathe in the Blue lagoon

See the Glacier lagoon

Discover the South coast