Picolo recommends · Hotel in Reykjavik, Iceland
Sand Hotel
Wool throws, sheepskin and pale light on Reykjavik’s main shopping street, with the smell of a bakery drifting up from the ground floor.
Laugavegur is Reykjavik’s long main street, a line of shops, cafés and bars that runs from the old town towards Hlemmur. Sand Hotel is right in the middle of it, though the way the entrance is set back means the street stays mostly outside.
Rooms are light and lean on Icelandic makers, with wool, sheepskin and simple wood. The hotel has its own bakery, which may be the best argument of all on a grey morning when you need coffee and something warm before you face the wind.

Picolo’s verdict
Why we chose Sand Hotel
Sand puts you where Reykjavik happens without the noise that usually comes with it. For couples and friends on a long weekend, with shopping, coffee and dinner all within a few blocks, it is an easy choice.
The smallest rooms are tight, fine for two nights but less so for a week. Book a larger category for longer stays. If you want water views or a spa, look towards the harbour instead.
What you get
- Bakery on the ground floor
- Light rooms with wool and sheepskin
- Halfway along Laugavegur
- Entrance set back from the street
- Restaurants and cafés outside the door
A day at Sand Hotel
- Morning
- Fresh pastries from the bakery before anyone else is up.
- Midday
- A browse through the design shops along Laugavegur.
- Afternoon
- Up to Hallgrímskirkja for the view over the rooftops.
- Evening
- Dinner in one of the small kitchens on the side streets.
Location
Laugavegur, Reykjavik, Iceland
Open in MapsQuestions about Sand Hotel
Is Sand Hotel noisy?
It sits on the busy main street, but the entrance is set back, which keeps most of the street sound away from the rooms.
Does Sand Hotel serve breakfast?
There is a bakery on the ground floor. If breakfast is not part of your rate, it is the easiest place to start the day.
Are the rooms at Sand Hotel large?
Some rooms are compact. If you are staying more than a few nights, choose a bigger room type for more space.
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Updated 6 Nov 2026All articles
How Picolo chooses
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