This sleek black-window-fronted hotel has merged with the former next-door Hótel Edda. It sits on the eastern edge of town with 88 rooms, some suitably swanky, while the former Hótel Edda rooms are still modern but an economical option. Choose from views to the rear cliffs or the sea. The light, natural decor is inspired by the local environment. Breakfast costs 3000kr.
The in-house Berg Restaurant serves well presented Icelandic dishes like Arctic char, rack of lamb, plus international dishes like chicken breast in bacon or pasta (6.30pm to 9pm, 2300kr to 6300kr)