Almost every Iceland road trip starts in Reykjavík. It’s where flights arrive, where rental cars get collected, and where the open road begins. But Reykjavík is far more than a gateway — it’s a city with genuine character, extraordinary food, volcanic pools, Viking history, and a music scene that punches wildly above its weight for a capital of 130,000 people. Give it at least a day before you drive away.

Getting Your Bearings

Reykjavík is small enough to walk across in an hour. The old town centre clusters around Tjörnin lake and the main shopping street, Laugavegur. The harbour is a short stroll to the north. Hallgrímskirkja — the great concrete church that looks like a frozen waterfall — towers over everything from the hilltop, and its observation tower gives you the best free view in the city.

Start there: climb the tower (there’s a lift), get your bearings, find the ring of mountains in every direction, and pick out the routes you’ll be driving. It makes the enormity of the landscape feel immediately real.

Don’t Miss

The Old Harbour (Grandi District): Once a working fishing harbour, Grandi has transformed into one of Reykjavík’s most interesting neighbourhoods. There are excellent fish and chip stalls, a whale museum, a brilliant street food market (Hlemmur Mathöll is fantastic — Grandi Mathöll even more so), and independent coffee shops worth lingering in.

The National Museum of Iceland: Compact, beautifully curated, and highly informative. Two hours here will dramatically enrich everything you see once you’re out on the road — Viking settlement, the age of the sagas, the brutal history of the 18th-century fishing industry, and independence in 1944. Highly recommended.

Harpa Concert Hall: The glass-panelled concert hall at the harbour is an architectural landmark, designed in collaboration with Olafur Eliasson. It’s worth walking through even if you don’t catch a concert — the interior light is remarkable on a sunny day, and the harbour views are hard to beat.

Hallgrímskirkja and Skúlason’s statue: Leifur Eiríksson stands outside the church, a gift from the United States to Iceland in 1930. The church itself was designed by Guðjón Samúelsson, who took inspiration from the basalt columns of Svartifoss — the same rock formation you’ll later see in the Highlands. Iceland is a place where art, geology, and history intersect in unexpected ways.

Where to Eat

Reykjavík punches well above its weight for food. A few places worth your time:

Fish & chips at Hlöllabátar: Simple, perfect, iconic. Get the lobster soup alongside.

Reykjavík Fish Market (Fiskmarkaðurinn): Not cheap, but one of the finest restaurants in the country. The sashimi and Icelandic seafood are extraordinary.

Brauð & Co: The best bakery in Reykjavík. Arrive early — the cinnamon buns sell out. There are two locations and queues at both.

Icelandic lamb: You’ll find it on menus everywhere. Icelandic lamb is grass-fed, free-roaming, and genuinely one of the best in the world. Order it wherever you see it.

The Geothermal Pools

Swimming in geothermal water is not a tourist activity in Iceland — it’s simply what people do. Every neighbourhood in Reykjavík has a community pool fed by natural hot water. The entrance fee is minimal (around 1,000–1,200 ISK), and locals use them daily for socialising and unwinding.

Laugardalslaug is the largest and most popular, with multiple pools at different temperatures, a steam room, and a 50-metre lap pool. Sundhöll Reykjavíkur in the city centre is older and more atmospheric. The Sky Lagoon, south of the city, is a newer premium option with a sea-view infinity pool and cliffside setting.

Soak before you drive. The roads will still be there.

Practical Tips for Reykjavík

• The city is very walkable. Leave the rental car parked and walk Laugavegur on foot — parking is limited and expensive in the centre.
• Currency: Iceland is largely cashless. Cards are accepted almost everywhere, including tiny food trucks.
• Tipping: Not expected in Iceland. Service charges are included in prices.
• Opening hours: Many shops and museums open around 10am and close by 6pm. Restaurants and bars keep later hours. On Sundays, hours may be reduced.
• The weather: Reykjavík weather changes multiple times a day. Dress in layers, bring a waterproof outer layer, and don’t cancel plans because of rain — it usually doesn’t last long.

When you’re ready to leave the city behind and point the car toward open road, Esja Car Rental will be ready with a vehicle that fits your plans. We’re based in Reykjavík, we know these roads well, and we’re happy to give you honest, local advice on where to go and what to expect. Safe travels — and enjoy every kilometre.

Picking up your rental car in Reykjavík? Skip the airport queues — Esja Car Rental is based right in the city centre with hotel delivery available. Book your car →