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Iceland is getting a new geothermal spa retreat, the Laugarás Lagoon, on the Golden Circle

29 Apr 2025 A new geothermal wellness destination will open in Q3 this year in the Icelandic village of Laugarás, strategically positioned on Iceland’s Golden Circle – a popular tourist route.

Laugarás Lagoon is a two-storey geothermal lagoon on the banks of the Hvitá River designed to allow visitors to descend from an upper pool to a lower pool through a passage under the water’s surface, emerging through a waterfall.

The 1,000sq m bathing area will include a cold pool for contrast bathing, using glacial water from the nearby river, as well as two saunas, relaxation spaces, two swim-up bars, a 6.6-metre waterfall and a secluded grotto with seating.

Real estate company Norverk bought the plot in 2015 and appointed development firm Mannverk.

Architects T.ARK, engineering firm Efla and lighting design studio Hildiberg are also working on the project.

The modern architecture incorporates glass panels that offer sweeping views of the Hvitá River, mountains and woodland. Locally sourced materials have been combined with Iceland’s abundant geothermal energy to create the lagoon.

The site, which will be operated by Laugarás Lagoon ehf, will also offer food at its Ylja Restaurant, led by Icelandic chef Gísli Matt. The seasonal menu will offer ingredients from nearby farms, fisheries and greenhouses.

Three admission packages to the destination day spa will be on offer to the public, which include access to the lagoon to children over the age of eight. Group bookings are also available.

The individual adult price packages are:
• Birki (standard) gives unlimited access to the lagoon and facilities for ISK 6,900 (US$54, €47, £40).
• Lerki (premium) offers the same benefits as the Birki package, plus towel usage and one drink at the lagoon bar, for ISK 9,400 (US$73, €65, £55).
• Ösp (deluxe) provides the benefits of the Lerki package, plus a two-course meal at the Yjla Restaurant and access to a private changing booth, for (US$125, €109, £92).

The new property will take pre-bookings from 15 August.

The Lagoon is the newest addition to the 300km tourist route called The Golden Circle, which features Þingvellir National Park, Geysir geothermal area and Gullfoss waterfall. Approximately 94km from Reykjavík, the Lagoon is easily accessible for tourists and locals alike.

Hjalti Gylfason, one of the partners at construction company Mannverk, told local media last year that the construction cost was estimated to be around ISK 2 billion (US$15.6 million, €13.7 million, £11.6 million) and that the Lagoon anticipates between 150,000-250,000 visitors every year.

Iceland is becoming known for its geothermal lagoons, which include the original Blue Lagoon and the more recent Sky Lagoon and Forest Lagoon.