Reykjavik history

The history of Reykjavik, the world's northernmost capital, is rooted in the era of the Vikings and the first settlers. The city, whose name translates as "Smoky Bay," has come a long way from a humble farm to the cultural and economic heart of Iceland.

Foundation and First Mentions

According to the medieval "Book of Settlements" (Landnámabók), the first permanent settler on the island was the Norwegian chieftain Ingólfur Arnarson. Around the year 874, he established his farm on the peninsula where Reykjavik is located today. The place received its name—"Smoky Bay"—due to the columns of steam rising from the numerous geothermal springs, which the early settlers mistook for smoke.

Key Factors of Development

For many centuries, Reykjavik remained merely a collection of scattered farms. A turning point in its history came in the 18th century when the royal treasurer Skúli Magnússon, known as the "Father of Reykjavik," founded wool workshops here. This gave a powerful impetus to the settlement's development, and on 18 August 1786, Reykjavik officially received city status.

• Geographical Location: Its position on the southwest coast by Faxaflói Bay made it a convenient harbour and trading centre.
• Political Power: In 1843, the Althing—the Icelandic parliament—was restored in Reykjavik. In 1918, the city became the capital of the self-governing Kingdom of Iceland, and from 17 June 1944, the capital of the independent republic.

Early Cultural and Economic Features

Initially, Reykjavik's economy was based on agriculture, but over time, trade and fish processing began to play a key role. In the Middle Ages, the settlement was an important link in the trade chain between Norway, England, and the Hanseatic League. Upon receiving city status, and later becoming the capital, Reykjavik quickly transformed into the country's main industrial, commercial, and cultural hub, concentrating a significant part of its economic life.

Key Milestones in Reykjavik's History

From a modest Viking settlement to a vibrant northern capital, the history of Reykjavik is full of significant events that have defined its unique character. Here are the main moments of its centuries-old journey.

• 874 — According to the "Book of Settlements," Norwegian chieftain Ingólfur Arnarson establishes the first permanent settlement on the site of the future city.
• 1262 — Iceland, including the Reykjavik area, comes under the rule of the Norwegian crown, which strengthens trade ties.
• 1786 — Reykjavik receives city status and the right to free trade, marking the end of the Danish trade monopoly and the beginning of its growth.
• 1845 — The Althing, the Icelandic parliament, returns to Reykjavik, cementing the city's status as the country's administrative centre.
• 1904 — The city officially becomes the seat of the government for autonomous Iceland.
• 1918 — Iceland is recognised as a sovereign kingdom in a personal union with Denmark, with Reykjavik as its capital.
• 1940 — During World War II, British troops occupy the city to prevent its seizure by Nazi Germany.
• 1944, 17 June — Following the dissolution of the union with Denmark, Iceland is proclaimed an independent republic, and Reykjavik officially becomes its capital.
• 1986, 11-12 October — Reykjavik hosts the historic summit between US President Ronald Reagan and General Secretary of the CPSU Central Committee Mikhail Gorbachev, a turning point in ending the Cold War.
• 2000 — UNESCO awards Reykjavik the honorary title of "Cultural Capital of the World."
• 2008 — The city, like the entire country, experiences a severe financial crisis, leading to significant economic and social changes.
• 2011 — Reykjavik receives the status of "City of Literature" from UNESCO, confirming its rich literary heritage.

Stages of Transformation: From Village to Capital

The development of Reykjavik is a story of rapid transformations that turned a small settlement into a modern and dynamic city. Key milestones reflect its economic, cultural, and urban growth.

• 1786 — Birth of the City: Receiving the status of a trading town and the abolition of the Danish trade monopoly became the starting point for economic development. This allowed Reykjavik to evolve from a cluster of farms into a proper urban centre driven by crafts and trade.
• 1845 — Political Centre: The return of the re-established Icelandic parliament, the Althing, to the city definitively secured Reykjavik's status as the administrative and political heart of Iceland.
• Early 20th Century — First Urbanisation: The active development of the port and the fishing industry led to population growth and the first wave of urban planning. The city began to acquire modern features, strengthening its economic base.
• 1940s — Infrastructure Leap: The period of World War II and the presence of Allied forces led to large-scale construction. An airport, roads, and new infrastructure were built, radically changing the appearance of the city and accelerating its modernisation.
• Post-War Modernisation — "The Smokeless City": The mass implementation of geothermal heating was a revolution in urban life. This not only solved the smog problem but also made Reykjavik a pioneer in the use of renewable energy, as well as sparking the construction of public thermal pools, which have become an integral part of the culture and wellness lifestyle.
• 1986 — Global Recognition: The summit between Ronald Reagan and Mikhail Gorbachev drew the world's attention to Reykjavik. The meeting not only went down in history as an important step towards ending the Cold War but also presented the city as a modern and hospitable capital.
• 2000s — Cultural Flourishing: The awarding of the "Cultural Capital of the World" title in 2000 and "UNESCO City of Literature" in 2011, along with the opening of the Harpa Concert Hall (2011), marked Reykjavik's transformation into a lively centre of art and creativity.
• Post-2008 — Tourism Boom: The financial crisis of 2008 paradoxically triggered a powerful boost to tourism development. This led to a restructuring of the economy and the emergence of numerous hotels, restaurants, and visitor services, finally shaping modern Reykjavik as one of the most popular travel destinations in the world.

The architecture of Reykjavik is a unique reflection of its rapid history: from a small settlement to a vibrant modern capital. You will not find medieval Gothic or Renaissance styles here, as urban development began much later. The architectural appearance of the city was formed under the influence of Scandinavian traditions, the harsh climate, and the bold ideas of the 20th and 21st centuries.

Birth of Urban Style (Late 18th – 19th Centuries)

The first stone buildings in Reykjavik began to appear only at the end of the 18th century, replacing traditional turf houses. Early architecture was strongly influenced by Danish Neoclassicism. Buildings from this period are characterised by simplicity, severity of form, and functionality. A striking example is the Icelandic Parliament building — Alþingishúsið, built in 1881 from hewn Icelandic stone. A distinct feature of the old town became wooden houses clad in colourful corrugated iron—a practical solution for protection against the harsh climate, which over time became a hallmark of the historic centre.

National Romanticism and Modernism (First Half of 20th Century)

The beginning of the 20th century was marked by the search for a national architectural language. A key figure of this era was the architect Guðjón Samúelsson, who sought to reflect Iceland's unique natural landscapes—basalt columns, glaciers, and volcanoes—in his works. His style combines elements of Modernism, Expressionism, and Art Deco.

• Hallgrímskirkja: Samúelsson's most famous creation and the symbol of Reykjavik. The design of the church, developed in 1937, was inspired by the shapes of basalt columns formed when lava cools.
• National Theatre of Iceland (Þjóðleikhúsið): Its architecture also traces references to the island's geological forms.
• Main Building of the University of Iceland: An example of a more restrained modernist approach, yet still part of the legacy of this outstanding architect.

Modern Architecture (Late 20th – 21st Centuries)

Modern Reykjavik is a field for bold architectural experiments using glass, steel, and concrete. New buildings blend harmoniously into the natural context, reflecting the light, water, and sky.

• Harpa Concert Hall: An outstanding example of contemporary architecture, opened in 2011. Its facade, created in collaboration with artist Olafur Eliasson, consists of glass cells resembling basalt crystals and the play of the Northern Lights.
• City Hall (Ráðhús Reykjavíkur): Built in 1992 in a postmodern style, the building literally sits on Lake Tjörnin, symbolising the city's connection with nature.
• Perlan: A unique structure consisting of a glass dome erected on giant reservoirs of hot thermal water. Today, it is a cultural centre with exhibition halls and an observation deck offering a panoramic view of the city.

Throughout its history, Reykjavik has been home to many outstanding individuals whose achievements have influenced not only Iceland but the entire world. From founders and political leaders to world-renowned artists, here are some of the key figures associated with the city.

Iconic Personalities in Reykjavik's History

• Ingólfur Arnarson (9th century) — A Norwegian chieftain considered the first permanent settler of Iceland. According to the "Book of Settlements," it was he who established his homestead on the site of future Reykjavik around 874, marking the beginning of the city's history.
• Guðjón Samúelsson (1887–1950) — A prominent Icelandic architect whose works largely defined the modern look of Reykjavik. He designed such iconic buildings as Hallgrímskirkja, the main building of the University of Iceland, and the National Theatre.
• Halldór Laxness (1902–1998) — A writer born in Reykjavik and a laureate of the 1955 Nobel Prize in Literature. His work, deeply connected to Icelandic culture and history, brought him worldwide recognition and revived the "great narrative art of Iceland."
• Sveinn Björnsson (1881–1952) — The first President of the Republic of Iceland. He played a key role in the establishment of the independent state in 1944 and led the country from its capital, Reykjavik.
• Vigdís Finnbogadóttir (born 1930) — The fourth President of Iceland (1980–1996) and the world's first woman to be elected as a head of state in a direct democratic election. Her presidency became an important milestone in world history and a symbol of the progressive nature of Icelandic society.
• Björk Guðmundsdóttir (born 1965) — A world-famous singer, composer, and actress, born and raised in Reykjavik. She is one of the brightest symbols of modern Icelandic music and avant-garde art, bringing fame to the creative energy of her homeland.
• Arnaldur Indriðason (born 1961) — One of the most famous contemporary Icelandic writers, born in Reykjavik. His crime novels, often set on the streets of the capital, have been translated into dozens of languages and enjoy international popularity.
• Olafur Eliasson (born 1967) — A Danish-Icelandic artist known for his large-scale installations. He is the co-author of the famous glass facade of the Harpa Concert Hall in Reykjavik, which has become one of the city's new architectural symbols.