Hotel Borg

Hotel Borg is one of the most famous addresses in Reykjavik. It stands on Pósthússtræti, facing Austurvöllur square and the Parliament House, and it opened in 1930. Its story is unusual: it was the idea of Jóhannes Jósefsson, an Icelandic wrestling champion who made his fortune as a circus performer in America and came home with the plan of building a luxury hotel in Iceland. The hotel still describes itself as Iceland's first luxury hotel and is now part of the Icelandic group Keahotels.

The building's Art Deco character runs through the interiors, from the public areas to the 99 rooms, which combine period style with modern comforts. Room types run from singles to the Tower Suite, the hotel's top room, with views across the rooftops of the old town. Rooms have king-size beds, en-suite bathrooms, Nespresso machines, wireless speakers and flat-screen televisions, and wifi is free.

A big plus is the Borg Spa, which is included with every booking made directly with the hotel. It has hot tubs, steam baths and relaxation areas, and offers massages, facials and body treatments, which is welcome after a long day of sightseeing or a cold excursion. There is also a fitness room, as well as conference and meeting rooms.

The hotel is rated four stars and suits couples, travellers who appreciate historic hotels and anyone who wants to be in the very centre. You can walk to Tjörnin lake, the Parliament House, the shops of Austurstræti and Laugavegur, and Hallgrímskirkja, and the cafés and restaurants of the old town are on the doorstep. Rooms at the front look over Austurvöllur, the square where locals sit out on sunny days and where public events and gatherings take place, so ask for a room at the back if you prefer quiet.

If you are visiting in winter, a soak in the spa's hot tubs is a good way to warm up after a cold day of sightseeing or a northern lights tour.

Book directly if you want the spa included, and book early for summer and for New Year, when the centre is especially busy. The airport bus stops at central bus stops a short walk away, and the hotel can be reached by taxi to the door. Allow time to sit in the square or the nearby cafés; the location is the best reason to stay here.