The 4 Best Boutique Hotels with Entertainment in West Iceland (2025)

Nestled in the breathtaking landscapes of the Snæfellsnes Peninsula, Drangar Country Guesthouse invites you to experience a harmonious blend of modern comfort and natural beauty. With its warm ambiance and thoughtful design, this retreat offers an intimate escape where romance and adventure intertwine amid Iceland’s captivating scenery.

Total Relaxation - Indulge in serene moments as you unwind in cozy nooks adorned with soothing artworks, while the fresh scent of Icelandic moss wafts through open windows, inviting tranquility into your soul.

Country Escape - Embrace the unspoiled wilderness surrounding the guesthouse, where the gentle rustle of leaves and distant calls of birds create a backdrop for leisurely hikes along scenic trails that weave through stunning vistas.

Romantic Break - Set the stage for love in elegantly appointed rooms featuring plush furnishings and soft textiles, where the whispering winds outside create an enchanting soundtrack for intimate evenings spent together.

Guest Experiences - Upon arrival, guests are greeted not just by the promise of comfort but also by Knútur's infectious enthusiasm, sharing the aroma of freshly brewed coffee mingling with the crisp mountain air, setting a welcoming tone for all who enter.

Nestled in the tranquil embrace of Iðunnarstaðir, Basalt Hotel offers a serene escape amid Iceland's breathtaking landscapes. Here, the modern luxury of chic accommodations intertwines effortlessly with the rugged beauty of nature, creating a romantic and intimate hideaway perfect for couples and adventurers alike.

Total Relaxation - Unwind in the rejuvenating hot tub under an expansive sky, where the stars twinkle like diamonds and the crisp air carries the soothing sounds of silence, interrupted only by soft whispers of the breeze.

Outstanding Location - Perched conveniently near Thingvellir National Park, this picturesque hotel serves as your gateway to explore the dramatic vistas and historic sites of Iceland, providing the ideal backdrop for adventures that awaken the spirit.

Boutique Style - With its modern design, every corner of Basalt Hotel whispers elegance and comfort—where plush beds invite you to relax and uniquely designed spaces are adorned with local artworks that capture the essence of Icelandic culture.

Guest Experiences - One guest marvels at the delicious breakfast spread, where the scent of warm bread mingles with savory bacon, while another recalls the cozy charm of their room, complete with soft bathrobes awaiting them for a dip in the outdoor hot tub, which offered mesmerizing views of the surrounding mountains.

Nestled on the breathtaking Flatey Island, Hotel Flatey offers an exquisite sanctuary where modern elegance complements the raw beauty of Iceland's landscape. Here, the air is infused with the invigorating scent of the ocean and wildflowers, creating a serene backdrop for romantic getaways or adventurous escapes.

Total Relaxation - Unwind in our intimate shared lounge, where plush seating invites quiet conversations over the soft crackle of a nearby fire, while the sweeping views of the rugged coastline beckon you to breathe deeply and leave your worries behind.

Culinary Delights - Savor meals prepared with love in our stylish restaurant, where the aroma of fresh, local ingredients fills the air, and each bite transports you to the heart of Icelandic cuisine, punctuated by the laughter and warmth of our attentive staff.

Unique Experience - Stay in beautifully renovated rooms that echo traditional charm while offering modern comforts. Though cozy and intimate, these spaces reflect a unique character; sun-drenched mornings reveal stunning vistas that make the small size feel just right as you embrace the island's tranquil rhythm.

Guest Experiences - Imagine waking up to the gentle sounds of seabirds outside your window, then enjoying a delicious breakfast crafted from local delicacies, all while feeling the genuine hospitality from our team, especially Lilian, who makes every guest feel like a treasured friend.

Nestled in the enchanting landscape of Búðir, Iceland, Hotel Búdir offers a romantic escape where modern luxury meets the raw beauty of nature. Surrounded by the serene whispers of the ocean and the rugged allure of distant lava fields, each moment here feels like a cherished memory waiting to unfold. The hotel’s design harmonizes with its stunning surroundings, creating an intimate haven for couples and adventurers alike.

Outstanding Location - Perched at the edge of an inlet filled with playful ducks and geese, the hotel's breathtaking views invite exploration of nearby seaside walking trails, where the air is fresh and invigorating. Guests often find themselves lost in the vastness of the scenery, capturing unforgettable moments framed by the iconic Snæfellsjökull Volcano.

Culinary Delights - Savor the essence of Icelandic gastronomy in the cozy dining room, where expertly crafted seafood and tender lamb dishes are complemented by a thoughtfully curated wine selection. The aromas of fresh-cooked breakfasts linger warmly, enhancing the ambiance as guests share stories over morning coffee with sweeping views of glaciers and sea.

Total Relaxation - Unwind in the elegantly designed spaces that encourage calm and reflection, from the inviting lobby adorned with classic furnishings to private rooms offering tranquil views. Many guests find solace in curling up with a book in one of the numerous seating nooks, serenaded by the gentle sounds of nature just outside.

Guest Experiences - One couple recalled their wedding day amidst the hotel’s breathtaking backdrop, with the staff going above and beyond to create an unforgettable experience; they found joy in the little things, like the friendly bar area where laughter flowed as freely as the drinks, and the thrill of spotting the northern lights on a wild, windy night.