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

Pallett

$$ Fodor's choice

Tucked away in the sleepy fishing town of Hafnarfjörður, Pallett looks at times like an ad from a 1970s issue of Vogue with its jungle of houseplants, a rotary telephone at the counter, and cassette player blaring in the background. But this is more than just a hipster hangout: the food is hearty, wholesome, and inherently British (think freshly baked scones with homemade jam) and the coffee is made from award-winning beans. Pálmar Þór, co-owner and resident coffee guru, is a twice-national barista champion and makes a first-class Irish coffee that'll leave you feeling so serene, you might just want to stay in the 1970s a little longer.

Strandgata 75, Hafnarfjörður, Capital Region, IS-220, Iceland
354-571–4144
Known For
  • heaven for coffee nerds
  • part of the slow living movement
  • only place in Iceland that does mince pies

Bryggjan

$$

This little café in an old netting factory by the harbor is famous for lobster soup and homemade cakes. Loved by locals and tourists alike, Bryggjan is adorned with flying buoys and framed photos from the town's older days.

Miðgarður 2, Grindavík, Southern Peninsula, 240, Iceland
354-426–7100
Known For
  • delicious lobster soup
  • very creamy cakes
  • fishing village feel