Cafe in Hveragerði & Around

This chilled-out cafe-cum-restaurant incorporates rough wood furniture, antiques and vintage photos. Creative meals are crafted from fresh Icelandic ingredients and include fresh skyr (Icelandic yoghurt) smoothies and drinks, sliders, lasagne and fish, plus grand cakes that are just too tempting to resist. The building also contains the oldest skyr factory, hence its name.

Parties of more than 10 can book 25- to 60-minute tours (from 1950kr per person), in which they'll learn how to make skyr and taste it. Upstairs, there's also a theatre for rent and pretty little guest rooms (doubles with shared bathrooms from 17,700kr).