5 Best Restaurants in Reykjanes Peninsula and the South Coast (with the Golden Circle), Iceland

Efstidalur II

$$$ Fodor's choice

This family farm serves amazingly fresh dishes at their restaurant, Hlöðuloftið, including stuffed trout from the nearby lake and hamburgers from their own meat. But their downstairs ice-cream bar truly takes farm-to-table to another level with the delicious homemade ice cream you can enjoy while watching the dairy cows through a big glass window.

Almar Bakarí

$

Stop at this local bakery for a taste of Icelandic pastries—be sure to try ástarpungar (deep-fried sweet bread with raisins), snúður (Icelandic cinnamon buns), or kókoskúla (sweet bread mixed with cocoa). They also serve fresh sandwiches, salads, and soups with sourdough bread.

Sunnumörk 2, Hveragerði, South, 810, Iceland
354-483–1919
Known For
  • indoor and outdoor seating
  • cakes for special occasions
  • sweet Icelandic treats

Brikk

$

At this great modern bakery-café by the harbor, you can enjoy delicious sourdough bread with tasty, original salads and mouthwatering pastries, either to eat there or to take with you on a road trip. In a city with as fierce a bakery scene as Hafnarfjörður, this spot is a true stand-out, and you’d be hard-pressed to find a local who isn’t obsessed with their cheese and tuna spreads.

Norðurbakki 1b, Hafnarfjörður, Capital Region, 220, Iceland
354-565–1665
Known For
  • reasonable prices
  • famous cinnamon buns with salted caramel topping
  • dangerously good cheesy salad

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Hjá Höllu

$$

This breakfast-and-lunch spot in Grindavík started in Halla's kitchen at home. Her specialty is fresh, healthy daily to-go bags, which are filled with snacks, fresh juices, a hot lunch, and something sweet—perfect for a long day of sightseeing.

Kanslarinn

$$

Simply put, Kanslarinn is like a classic American roadside diner with an Icelandic country twist. The space itself is not intended to impress, but their classic diner dishes and Icelandic favorites consistently deliver.

Dynskálar 10c, Hella, South, 850, Iceland
354-487–5100
Known For
  • meat soup the way Icelanders like it
  • free Wi-Fi
  • local delicacy of pepper steak from horsemeat