Located on Bankastræti in downtown Reykjavík—just a few minutes walk from Harpa Concert Hall, Hallgrímskirkja, and Tjörnin (the city pond)—Loft Hostel is a cozy, multi-story hotel complete with a café, bar, and a rooftop terrace that offers stunning views of the city and the northern lights during the winter months.

For locals, the hostel is also a popular venue for intimate concerts and poetry readings, as well as small social events that demand a laidback vibe and atmosphere.

Matthew Morgan, a Londoner who decided to make a stopover trip in Iceland