Stayed here for one night on a group tour of Iceland. Stayed in room 23 (see pics in paparam's review), which was clean and comfortable - more like a typical UK/US hotel than the other places we stayed in Iceland. There was a large restaurant where we had breakfast - all the usual fare which was regularly topped up by the cheerful waitresses, plus a lounge area with TV. There was also a TV in our room but we didn't use this as well as wi-fi acccess in the reception area. All in all this was a comfortable place to stay and would be happy to stay there again.

I stayed only one night at this establishment earlier this month. I was immediately struck by the pleasing decor - see the photographs in paparam's report - spacious communal areas with squashy leather seating , lots of golden wood tastefully teamed with dark green carpet and curtains on the staircase, corridors and bedrooms. Both bedroom and shower room were spotlessly clean, well equipped and well maintained - very welcoming to any traveller.

Late in the evening someone was kicking a ball about in the caravan site across the road but when that noise ceased there was silence........... I slept soundly and awoke to silence next morning.

Splendid buffet breakfast spread. I would have liked a mug rather than the small coffee cups which have to be refilled several times (though I think I saw someone with a larger cup) and some labelling - particularly on the diversity of spreads and liquids available.

This hotel is situated in a quiet spot near the petrol station, bank and supermarket. The "nightlife" - eating and drinking establishments - seem to be all on the other side of the Ring road, along the river bank.

We had a confirmed reservation for a double room via the Fosshotel website. When we arrived, we were told that someone had mixed up something with the reservations and they offered us a camping cabin on the neighbouring campground. As a compensation, the hotel offered us a bottle of wine and free dinner. At least in financial terms, this deal wouldn't have been unfair, but we had not booked for a stay on the campground!
When we checked out, we saw the reservation for a bus tour on the reception desk, made 9 days later than ours. Obviously, the hotel had accepted a bus tour although they hadn't enough rooms. So they sent an individual guest to the campground. This seems to be a not uncommon practice in the Nordic countryside, as it happened to me before at a hotel in Northern Norway.
From an economical point of view, I understand the hotel management - if they had honored my booking, they probably wouldn't have sold all their hotel rooms for that night. But if they prefer bus tourists, they should accept individual guests as walk-ins only.
I stayed at another Fosshotel, where the stay was completely satisfactory. Nevertheless, I have lost the confidence in the Fosshotel reservation system.

We stayed one night at this Hotel during our ring road trip end of August, 2008. There were 4 of us and we had rooms 22 and 23 on the ground floor. The Hotel is in a tiny town and located right behind a gas station -very easy to locate. The hotel to me is what a typical good Motel 6 would be in the US (The prices are Icelandic though). Check in was by a friendly, English speaking front desk clerk who was good enough to look up the weather forecast for the following day on the internet. To save on costs we had booked one room with a private bathroom and the other without but upon check-in they upgraded us to two rooms with private baths. It seemed the hotel was not very busy and we counted only 6 cars parked there overnight.Incidentally parking is free.We had requested and received non-smoking rooms. The rooms were small but comfortable with adequate heat and hot water.We were satisfied with the bed and the comforters but the pillows were too soft. It was very quiet. There was a small TV in the room with 3-4 channels, perhaps two in English but this may vary. We had dinner at a restaurant named Kanslarinn within a 10 min walk behind the Hotel. (reviewed separately). The showers had plenty of hot water. No telephones in the room. There is an alarm clock which we did not need to use.

There is a common room with bigger TV and sofas and a Piano.

Breakfast was good with the usual sliced tomatoes and cucumbers, cold cuts, cereal, sliced boiled eggs and breads and the not to be missed Icelandic Skyr (very thick yogurt). All in all a good place for a good nights sleep. We paid ISK 15,675 for one room and ISK 7425 for the other. The Kroner was in free fall at the time having gone from the mid 40's 9 months earlier to 83 ISK to the dollar. (It is 94 today a month later) We had prepaid but our card was not charged till we checked in.(TIP: use Capitol One Visa to avoid foreign exchange fee of 3% charged by other cards)