We stayed here due to the fact that the road to the south was closed. Its a modern concrete box pretty much in the middle of nowhere. We made the mistake of eating in the Hotel restaurant in the evening as there wasn't much choice. The food was dreadful. I wouldn't feed it to my dog. If you have to stay here take your own food!

After driving a long way from the main road, it was surprising to come across this large, busy business hotel in a tiny village surrounded by farms. It was full of a large conference group who took over most of the dining room, so a bit of a culture shock after the small, quiet hotels we had stayed in in other parts of Iceland. Comfortable rooms, but standard international feel, lacks atmosphere, and the 'saga theming' really amounts to just a few pictures on the wall (many of them depicting a rather Germanic 19th century view of Icelandic mythology). We got a good deal on the room, so it was one of the cheaper places we stayed. Buffet dinner was good, but very expensive at 4800 kr, and there was no other option. Only 2 channels on the TV - Iceland TV, and bizarrely, UK ITV3. Internet access was not free, unlike all the other hotels we stayed at. The village is small but fascinating - Snorri's pool, the archaeological excavations and the pretty 19thC & modern churches. Snorrastofa, the museum about the sagas, was not open, but sounds very interesting. And hot springs venting steam all around. A good location for starting one of the easy Interior routes via Kaldidalur to Thingvellir, with spectacular scenery all the way (4X4 strongly recommended for these rough gravel roads).

When we arrived we didn't expect to find a so wonderful hotel: when we left the things in the room, the receptionist showed us the hotel, the diferents rooms, the restaurant and... the spa!!! It was free!!!
The food was very good and the service too. And the hotel decoration was very nice.
If I would have to say something bad about the hotel I would say it is not located near very interesting places to visit. Only the spring waters center.
And, of course, it has free internet access.
I think it is a very good hotel to rest after your visit to the island... to take a break. I would return!!!!

We ended up in the hotel around midnight as the nearby camping were we had booked a hut had its reception closed. We called the hotel and the receptionist gave us a 25% discount after we mentioned that we were coming from the camping and were looking for something not too pricey.
You get excellent value for the money: our double room had almost the seize of our two bedroom flat in London (no joke!) with double bed, double sofa, armchair, coffee table, TV and large en-suite toilet, bathtub & shower.
The three hot pots - one of the a Jacuzzi - officially close at 11pm but the receptionist told us that we could use them all night if we kept the noise level down. We enjoyed the pots thoroughly!
The breakfast was excellent, much more even than the extended versions of the usual ones. All staff were very nice.
The hotel decoration a bit tacky, but walking along the corridors, you get basic info about Icelandic Gods & sagas in text and drawings.
This place is definitely worth the money. Recommended!