Laugavegur Street is the main shopping and cultural hub in Reykjavik. If you want to find the best shops in Reykjavik, top Icelandic clothing brands, coffee shops, or the best bars in the city, this is where you start.
Spanning roughly 1.2 miles (2 kilometers) through the historic 101 district, Laugavegur Street offers a mix of colorful corrugated-iron buildings, street art in Reykjavik, and the best shopping experience in Iceland.
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Laugavegur Street is walkable, making it an easy stop during sightseeing in Reykjavik. Its central location and pedestrian-friendly atmosphere suit families and independent travelers alike, while guided walking tours in Reykjavik provide insights from local experts.
If you're planning to rent a car in Iceland, remember that part of the street is pedestrian-only. You’ll also find some of the best accommodations in Reykjavik, making the area a convenient base for exploring the city.
Keep reading for tips on where to shop, eat, drink, and make the most of your visit to Laugavegur Street.
Key Takeaways About Laugavegur Street
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Laugavegur Street is the main shopping and cultural street in Reykjavik, about 1.2 miles (2 kilometers) long, with the main part running from Hlemmur Square to Laekjartorg Square.
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The lower portion of Laugavegur is a permanent, year-round pedestrian zone. The nearest parking garage is Stjornuport at Laugavegur 94.
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The street has a wide range of cafes, restaurants, and bars in Reykjavik, plus boutiques and Icelandic design shops. Many shops close around 6:00 PM.
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The hotels in Reykjavik along Laugavegur Street suit most budgets and sit close to Reykjavik's top attractions.
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Laugavegur Street is entirely distinct from the famous Laugavegur Hiking Trail located in the Icelandic Highlands.
Where is Laugavegur Street Located
Laugavegur runs east to west through the center of Reykjavik. The popular shopping stretch of the street starts at Hlemmur Square, home to one of Reykjavik's top food halls, and continues to Laekjartorg Square.
East of Hlemmur, the road continues under the name Sudurlandsbraut toward the Kringlan Shopping Mall and the Laugardalsholl Sport Center. At its western end, the street merges into Bankastraeti Street, which leads to the center of downtown Reykjavik.
Beyond Laugavegur, several nearby streets and pathways are also well worth exploring. Hverfisgata Street runs parallel to Laugavegur with its cafes, the National Theatre of Iceland, and the arthouse cinema Bio Paradis. Skolavordustigur, the Rainbow Street, branches uphill toward Hallgrimskirkja Church, with a painted rainbow path and small boutiques.
Best Time To Visit Laugavegur Street
Laugavegur is open and accessible year-round, so the best time to visit comes down to your preference. The street stays lively in every season, and each one offers a different feel.
Summer (June to August): Peak season, with long daylight hours, warm weather, and the busiest streets. Best for outdoor cafes and late evening strolls, though prices and crowds are at their highest.
Winter (November to March): The street takes on a cozy mood with holiday lights in December, and you can pair your visit with a chance to see the northern lights. Parts of Laugavegur are heated, helping reduce ice on some sidewalks during winter.
Spring and Fall (April to May and September to October): Calmer streets, milder days, and lower prices before the summer rush. A pleasant time to shop and explore on foot.
Top Things To Do on Laugavegur Street
Laugavegur is more than shops and bars. Colorful murals and street art line the buildings, and small galleries and shops invite you to stop along the way. For the tales behind the city, join an Icelandic folklore walk in Reykjavik to hear local stories of elves, trolls, and hidden people as you explore downtown.
Popular things to do include shopping for Icelandic wool sweaters and discovering nearby museums and exhibitions in Reykjavik. After dark, Laugavegur becomes the heart of Reykjavik’s nightlife, especially on Friday and Saturday evenings.
Explore Nearby Attractions Near Laugavegur Street
Laugavegur Street sits in the heart of the capital, so many of the top things to do in Reykjavik are a short walk away. The best way to explore is a sightseeing tour in Reykjavik with a local to cover the highlights in half a day.
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Hallgrimskirkja Church: About a 5 to 10-minute walk uphill through Rainbow Street. A must-visit for the tower, with the best panoramic view over Reykjavik.
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Sun Voyager Sculpture: About a 12-minute walk to the Saebraut seafront. This steel Viking-ship sculpture is Reykjavik's most photographed landmark, stunning at sunset.
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Reykjavik Old Harbor: About a 15-minute walk from Laugavegur, it’s the launch point for whale watching tours and where many top museums in Reykjavik are located.
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Harpa Concert Hall: About a 10 to 15-minute walk toward the waterfront. Worth a stop for its award-winning glass facade, free to explore inside.
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Tjornin Pond: About a 10-minute walk from Laugavegur Street. A peaceful must-see, ringed by colorful houses and busy with birdlife year-round.
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Reykjavik City Hall: About a 12-minute walk to this modern lakeside building. Step inside to see the giant 3D relief map of Iceland, free to view.
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Icelandic Punk Museum: Located just off Laugavegur on Bankastraeti 0, this quirky museum is housed inside a defunct underground public restroom. It documents the raw, energetic history of Icelandic punk and features artists like Björk and The Sugarcubes.
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Reykjavik Art Museum: About a 10-minute walk to the Hafnarhus site near the harbor. A must for fans of modern and contemporary Icelandic art.
If you plan to visit multiple museums, galleries, and attractions, a 24-hour Reykjavik City Card can also be a convenient way to save on admission and public transportation.
Discover Street Art and Rainbow Street
Exploring the street art in Reykjavik is one of the best free things to do on Laugavegur Street. You’ll find massive, colorful wall murals, hidden stencil art, and brightly painted pavement lanes that make for perfect photo backdrops.
Be sure to explore the side streets and nearby Rainbow Street, where Reykjavik city murals and new artwork often appear in unexpected places.
Popular murals to find on Laugavegur Street:
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Ode to Mother: Painted by Belgian artist Caratoes on the Mjuk Iceland storefront, this mural was created for the 2015 Wall Poetry project and inspired by the Icelandic band Ylja.
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Vampire: A striking collaboration between artist *FACE and Icelandic band Agent Fresco, this Laugavegur mural draws on the medieval Laxdaela Saga.
To learn about the artists and stories behind the works, join a street art walking tour in Reykjavik.
Shopping in Laugavegur
Laugavegur is Reykjavik's premier shopping street, lined with high-end boutiques, Icelandic souvenir shops, bookstores, and thrift stores. Find authentic Icelandic goods like handmade lopapeysa wool sweaters at the Handknitting Association of Iceland, Nordic outdoor gear, vinyls, and vintage clothing.
Stores Worth Visiting on Laugavegur Street
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66°North (Laugavegur 17): Iceland's iconic outerwear brand, built for the country's harsh weather.
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Rammagerdin (Laugavegur 31): One of Iceland's oldest souvenir shops, known for quality wool crafts.
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Iurie Fine Art (Laugavegur 25): A gallery with stunning fine-art photography of Iceland's landscapes.
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Spuutnik: A vintage and secondhand store in Reykjavik since 1986, perfect for unique finds and budget-friendly fashion. The store closes at 6:00 PM, so go a bit early.
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Blue Lagoon Skin Science (Laugavegur 15): An Icelandic skincare brand featuring products, including bath salts, algae masks, body lotions, and foot scrubs.
Practical Tips Before You Shop on Laugavegur Street
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Tax-free shopping: Most stores in Laugavegur Street offer VAT refunds. Spend a minimum of ISK 12,000 on a single purchase receipt to qualify, then claim your refund at Keflavik Airport before departure.
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Go cashless: Iceland is almost entirely card-based; even small purchases are paid by card.
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Opening hours: Most shops open around 10:00 AM, closing between 6:00 PM and 10:00 PM, with longer hours during summer.
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Sundays and holidays: Many shops keep shorter hours on Sundays, and some close on public holidays such as Christmas and New Year, so check ahead if you visit on these days.
Where To Eat & Drink on Laugavegur Street
Laugavegur Street is the heart of Reykjavik's dining scene, packed with cafes, bakeries, and restaurants along its length. Whether you want a casual morning pastry or a multi-course fusion dinner, you can find it within a short walk here.
You can explore the best restaurants in Reykjavik at your own pace, or join one of several food and drink tours to taste local flavors with a guide. A food tasting tour in Reykjavik is a great way to explore local flavors while learning about Icelandic culture and history.
Top Cafes on Laugavegur Street
Laugavegur offers the best bakeries and cafes in Reykjavik at any time of day. You find fresh pastries in the morning and full meals at night.
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Te & Kaffi (Laugavegur 27): One of Iceland's most established coffee chains, good for a quick espresso, a pastry, or a quiet break.
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Sandholt Bakery (Laugavegur 36): One of Reykjavik's most popular bakeries for fresh pastries, artisan bread, and coffee, and part of the Sand Hotel.
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Kaffibrennslan (Laugavegur 21): A cozy cafe known for its waffles, with quiet upstairs seating and an outdoor greenhouse for people-watching.
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Prikið (Bankastraeti 12): A Reykjavik classic open since 1951, serving comfort food by day and turning into a lively party spot with live music at night.
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Brauð & Co (Laugavegur 180): An organic bakery open since 2016, famous for cinnamon buns and dark sourdough that can sell out by midday.
Best Restaurants on Laugavegur Street
For a sit-down meal, Laugavegur Street offers everything from sourdough pizza to Japanese-Peruvian fusion cuisine. Whether you're looking for brunch spots in Reykjavik, a family-friendly dinner, or a special evening out, you'll find plenty of options within walking distance.
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BakaBaka (Bankastraeti 2): A bakery and cafe by day that becomes a pizzeria at night, serving some of the best pizzas in Reykjavik.
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Monkeys Food & Wine (Klapparstigur 28): A trendy spot for Japanese-Peruvian fusion, sharing its space with the Kokteilbarinn cocktail bar.
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Dill (Laugavegur 59): The first Icelandic restaurant to earn a Michelin star, with Nordic tasting menus and a 2022 Green Star. Book well in advance.
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Reykjavik Kitchen (beside Hlemmur Square): A family-run favorite for traditional Icelandic food beside Hlemmur, serving fresh fish, lamb, and kjotsupa meat soup. Pair it with Brennivin schnapps and book ahead.
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Old Iceland Restaurant (Laugavegur 72): A small spot for traditional dishes like shellfish soup, arctic char, and lamb rib-eye, with vegan options. It takes no reservations after 6:00 PM, so arrive early.
Bars & Clubs at Laugavegur Street
Laugavegur is the center of Reykjavik nightlife. Most of Reykjavik’s bars and clubs sit along the street and its side streets.
Many venues also offer some of the best happy hour deals in Reykjavik, making the street a popular place to start an evening out. You can also join a Reykjavik beer tour with a local guide for a fun introduction to Iceland’s craft beer scene and nightlife culture.
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Ellý (Laugavegur 12): A stylish, vintage-feel cocktail bar serving Mexican plates, with live music and karaoke nights.
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Lebowski Bar (Laugavegur 20a): A Big Lebowski-themed bar with diner food by day and DJs, sports, and film screenings by night.
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22 Bar (Laugavegur 22): A relaxed bar with ties to Reykjavik's LGBTQ+ community, reopened in 2024 and sharing a building with Kiki.
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Ægir 101 (Laugavegur 2): The cozy basement taproom of the Ægir Brewery, with its own craft beer on tap.
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Kiki Club (Laugavegur 22): Reykjavik's main LGBTQ+ nightclub since 2013, known for drag shows and late weekend dancing.
Where to Stay on Laugavegur Street
Laugavegur is one of the most central places to stay in Reykjavik. The area offers some of the best accommodations in Reykjavik, giving you a range of options to suit your style and budget.
You find options from upscale downtown hotels to budget hostels and apartments in Reykjavik, all close to shops and restaurants. A central base means you walk to most downtown sights. The top hotels in Reykjavik can cost more, especially in the summer high season.
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Skuggi Hotel: A stylish, modern property less than 500 feet (140 meters) from Laugavegur, within a 20-minute walk of top attractions and tour pickups.
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CenterHotel Laugavegur: A modern 102-room hotel with the Loa Restaurant on site and shopping right outside the door.
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Sand Hotel: A boutique hotel across three historic buildings, including the Sandholt Bakery, with easy access to top cafes.
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Alda Hotel Reykjavik: A spacious stay at the quieter upper end of the street, with a fitness center, sauna, and outdoor hot tub.
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HI Loft Hostel: A budget-friendly hostel about an 8-minute walk from Harpa, with a rooftop terrace, bar, and social atmosphere.
History of Laugavegur Street
Laugavegur is one of the oldest shopping streets in Reykjavik. Its name means "the Water Road," referring to the route people once used to carry laundry to the hot springs of Laugardalur Valley.
Since its official construction in 1885, it has grown into Reykjavik’s main shopping and dining street. To bring that history to life, you can join a walking tour with a Viking and hear the settlement stories behind Reykjavik's oldest streets.
How to Get to Laugavegur Street and Get Around
Laugavegur sits in central Reykjavik and is easy to reach on foot. The downtown core is walkable, so you do not need a car here.
The street is close to most downtown hotels and the main square. Laekjatorg Square, at the western end, is a main interchange for Reykjavik's Straeto city buses.
If you are already downtown, you have a few easy ways to reach the street:
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Walking: From the Old Harbor or Hallgrimskirkja Church, the strip is a 5 to 10-minute walk. The shopping stretch runs from the Hlemmur Square down to the Bankastraeti Street intersection, next to Laekjatorg Square.
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City bus (Straeto): Take local bus lines like 1, 2, 6, 11, or 15 with stops near Laekjatorg, Hlemmur, and at Snorrabraut. You can find the best real-time routes via the official Straeto Website.
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Taxi: Taxis are easy to find throughout Reykjavik. A short ride from a nearby neighborhood typically takes only a few minutes, with fares charged by meter.
If you come straight from the airport, the trip takes about an hour in total.
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Flybus Transfer: Board a Flybus transfer from Keflavik International Airport. The ride takes about 45 minutes and ends at the BSI Bus Terminal. Walk to Laugavegur in about 15 minutes, or take a short bus ride the rest of the way.
Where To Park Near Laugavegur
Because the upper and middle sections of Laugavegur are frequently designated as pedestrian-only zones, driving directly down the street is restricted. If you are driving a rental car, look for these nearby parking options in Reykjavik:
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Stjornuport Parking Garage: Located at Laugavegur 94, providing convenient access to the central and eastern sections of the shopping street.
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Tradarkot Parking Garage: Found on Hverfisgata 20, just a short walk from Laugavegur and near the National Theatre. It also offers several EV charging stations.
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Vitatorg Parking Garage: Situated closer to the Sun Voyager, slightly away from Laugavegur Street. Its location often comes with lower parking rates than more central garages.
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Street Parking: Laugavegur falls within Reykjavik's central P1 parking zone, which has the highest rates and a 2-hour maximum stay. Nearby streets such as Hverfisgata and Skulagata are in the cheaper P2 and P3 zones.
Practical Tips for Visiting Laugavegur Street
A little planning can help you make the most of your time on Laugavegur Street. These practical tips cover everything from shopping and dining to parking, payments, and navigating Reykjavik's changing weather.
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Visit in the morning for a quiet stroll. Shops open around 10:00 AM or 11:00 AM, and the street is quiet before the crowds arrive.
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Wear comfortable shoes. The street runs about 1.25 miles (2 kilometers), and the best way to see it is on foot.
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Carry a card, not cash. Most shops, cafes, and bars in Reykjavik take cards, so you rarely need Icelandic krona.
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Ask for a tax refund on bigger buys. Many stores offer tax-free shopping for visitors, which lowers the cost of a wool sweater or design piece.
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Walk one block off the main street to save money. Side streets like Frakkastigur and Klapparstigur offer the same quality with lower tourist markups, plus more shops, cafes, and street art.
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Look just off the main street. Side streets like Skolavordustigur and Hverfisgata hide more shops, cafes, and street art.
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Dress for changing weather. Reykjavik weather shifts fast, so bring a warm layer and a rain jacket year-round.
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Refill your water bottle. Tap water on Laugavegur, like everywhere in Iceland, is glacial, clean, and free, so carry a reusable bottle.
What is the most famous street in Reykjavik?
What is Laugavegur Street known for?
The street is also notable for its street art, colorful building facades, and its proximity to landmarks including Hallgrimskirkja Church.
What is downtown Reykjavik called?
Is Laugavegur Street the same as the Laugavegur Hiking Trail?
Both names derive from the same Icelandic root meaning "wash road" or "hot spring road," but they are located far apart and serve completely different purposes.
Which is the best area to stay in Reykjavik?
What is the best time of day to visit Laugavegur?
In summer, the midnight sun means the street stays bright and active well into the early hours regardless of the day. In winter, the street takes on a different character, with festive lights, cozy cafes, and a warm atmosphere that contrasts with the long, dark evenings.
How do you pronounce Laugavegur?
Is Laugavegur street pedestrian-only?
What is the best thing to buy on Laugavegur?
What is the best time of year to visit Laugavegur?
Are there public restrooms on Laugavegur Street?
Are there public restrooms on Laugavegur Street?
What should I wear to visit Laugavegur Street?
How much does it cost to visit Laugavegur?
A coffee runs about 700 to 900 ISK (6 to 7 USD), a cafe lunch 2,000 to 3,500 ISK (16 to 29 USD), and a sit-down dinner 4,000 to 7,000 ISK (33 to 57 USD) or more. Shopping varies widely, with a hand-knit wool sweater costing roughly 220 to 440 USD (around 30,000 to 60,000 ISK).
Experience the Best of Laugavegur Street
Laugavegur gives you the full Reykjavik experience in one street. You shop for Icelandic design, eat well, see street art, and enjoy the nightlife. Its central location makes it an easy base for your trip.
Whether you’re strolling down the street, enjoying the shopping in Iceland, or experiencing the Icelandic food culture, this iconic street in Reykjavik offers something for every traveler. Plan your visit with a private folklore walking tour in Reykjavik to hear the city's myths and legends.
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