Hipster Bars in Iceland: Reykjavik Nightlife Guide 2025

There’s a moment, usually around 11 PM on a Friday, when Laugavegur street in Reykjavik transforms into something between a block party and an open-air gallery. The Northern Lights aren’t the only reason to stay up late here — the city’s bar scene has quietly become one of Europe’s most distinctive, mixing Icelandic design minimalism with a genuine love for good cocktails and craft beer. With the world’s safest capital as your playground, the only real challenge is choosing which door to walk through.

Average pint price: ISK 1,500–2,500 ($11–$18) ·
Bars on Laugavegur: 30+ within 1.5 km ·
Safety ranking: 1st safest capital (Numbeo 2025) ·
Legal drinking age: 20 ·
Weekend closing time: 03:00 ·
Airport to downtown: 50 km (45 min drive)

What are the best hipster bars in Reykjavik?

Seven key facts about the top venues, each with a distinct personality: there’s no single “best” bar — the winner depends on whether you’re after craft beer, exotic cocktails, or a living-room vibe.

BINGÓ Drinkery – eclectic decor and local brews

A bartender at BINGÓ described the concept as “a living room with cocktails and bingo” — and that’s exactly what you get. The decor mixes mismatched furniture, vintage lamps, and a real bingo board on the wall. Prices drop significantly before 21:00, making it one of the few places where you can grab a pint for around ISK 1,000.

Lemmy Bar – rock vibe and craft beer

Named after Motorhead’s frontman, Lemmy Bar leans hard into heavy metal memorabilia without feeling like a theme park. With more than 30 taps rotating through Icelandic and international craft beers, it’s a favorite among locals who’d rather argue about hop profiles than chase tourist crowds.

Jungle Cocktail Bar – tropical twist in the Arctic

Jungle Cocktail Bar throws the most dramatic visual contrast in Reykjavik: a rainforest interior of fake vines, neon parrots, and bamboo walls set against Iceland’s stark winter darkness. The cocktail menu leans sweet and elaborate — think passionfruit mojitos and smoked pineapple daiquiris. Menu prices reportedly shift with seasonal ingredient costs.

What is the coolest street in Reykjavik?

Two important patterns emerge from the data: Laugavegur is the undisputed main artery, but the real local haunts sit one block off it.

Laugavegur – the main drag for bars and boutiques

Laugavegur runs about 1.5 kilometers from the harbor eastward, packed with over 30 bars, cafes, and restaurants within walking distance. A local guide from Guide to Iceland (local tourism authority) calls it “the center of Reykjavik nightlife” — every bar mentioned in this article sits on or within a two-minute walk of this street.

Where do locals go off Laugavegur?

For a quieter scene, head to the Grandi harbor district, where Center Hotels (local hospitality chain) notes Grandi Restaurant & Bar operates daily 11:30–23:00 with a happy hour from 15:00 to 18:00. Tryggvagata and Hverfisgata also host smaller wine bars and cocktail lounges that rarely appear in tourist guides.

Is it safe to walk around downtown Reykjavik at night?

Three data points tell the story of why Reykjavik is uniquely stress-free for nighttime bar-hopping.

Reykjavik’s global safety rankings

According to Numbeo’s 2025 Crime Index (crowd-sourced safety database), Reykjavik ranks as the safest capital city in the world. The US State Department’s travel advisory classifies Iceland as Level 1 (exercise normal precautions) — the safest possible rating for a whole country. Violent crime is so rare that most Reykjavik residents have never experienced or witnessed an assault in a bar.

Tips for staying safe while bar-hopping

The US State Department (Iceland travel advisory, Tier 1 source) recommends standard precautions: watch your drink, keep valuables close in crowded venues, and use licensed taxis after last call. The catch: with bars closing at 03:00 on weekends and buses stopping around midnight, walking home is both the safest and most practical option.

The implication: Reykjavik’s safety record turns bar-hopping into a uniquely carefree experience, letting visitors focus on the atmosphere rather than their surroundings.

How expensive is a pint in Iceland?

Four price tiers, one pattern: happy hour transforms Reykjavik from one of Europe’s most expensive capitals into a surprisingly affordable night out — but only if you know when and where to go.

Average price of beer in Reykjavik bars

Data from Center Hotels (local hospitality operator’s nightlife guide) shows a domestic lager pint averages ISK 1,500–2,500 across downtown bars. Imported craft beers and specialty cocktails push toward ISK 2,500–3,000. For comparison, a pint in London averages £6–7 ($7.50–$9), making Reykjavik roughly 20–40% more expensive at standard prices.

Cheapest happy hours in the city

• SKÝ Lounge & Bar — happy hour 16:00–18:00 daily, plus late happy hour Sun–Thu 20:00–23:00 (Fri–Sat until midnight). Located at Ingólfsstræti 1 (Center Hotels).
• Þingholt Lounge & Bar — happy hour 16:00–18:00 for beer and wine, plus cocktail happy hour 18:00–20:00. Located at Þingholtsstræti 4–6 (Center Hotels).
• Grandi Restaurant & Bar — happy hour 15:00–18:00 daily. Located in the Grandi district (Center Hotels).
• Lóa Matur & Vín — late happy hour 22:00–00:00 daily. Open 16:00–00:00 (Center Hotels).
• BINGÓ Drinkery — pre-21:00 deals dropping pints to ISK 1,000 or below.

The pattern is clear: with a little planning, even budget travelers can enjoy Reykjavik’s bar scene without breaking the bank.

What is quirky to see in Iceland beyond bars?

Three curiosities that give context to the bar scene — and one that explains a lot about why Icelanders drink the way they do.

Unique experiences in Reykjavik

The Icelandic Phallological Museum (quirky institution, Húsavík and Reykjavik) houses the world’s largest collection of penises from nearly every mammal species native to Iceland. It’s a 10-minute walk from Laugavegur and makes for an unforgettable pre-bar conversation starter. Reykjavik’s geothermal pools — especially the newly renovated Laugardalslaug — offer a $10 soak that doubles as a social ritual as central to Icelanders as grabbing a pint.

Icelandic naming laws and traditions

Iceland’s Naming Committee maintains a list of approved first names. The name Harriet was rejected in 2015 because it did not conform to Icelandic grammatical rules — a decision that sparked international headlines. The rule exists to protect the language’s structure, but it also reflects a broader cultural conservatism that sits beneath the surface of Reykjavik’s trendy bar scene.

Pros and cons of Reykjavik’s hipster bar scene

For the discerning traveler, the trade-offs are worth it — the city’s bar scene offers a genuine glimpse into Icelandic culture, provided you navigate the timing and costs wisely.

For the tourist deciding between a Reykjavik bar crawl and a Northern Lights tour, the choice isn’t as obvious as it seems. The bars here are an attraction in themselves — living galleries of Icelandic design, fueled by craft beer and the world’s safest streets. Skip the happy hour pricing, and you’ll regret it financially. Skip the bars entirely, and you’ll have missed the part of Iceland that locals actually live.

Frequently asked questions