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Hveragerði: Iceland's Greenhouse Town

Methven Forbes

13 March 2026

Hveragerði: Iceland's Greenhouse Town

Hveragerði: Iceland's Greenhouse Town

Nestled in the geothermally active Hengill volcanic system, 45 kilometres southeast of Reykjavík, Hveragerði stands as one of Iceland's most unique settlements. This town of 2,400 residents has earned its reputation as the "Greenhouse Capital of Iceland," harnessing the earth's natural energy to create an oasis of cultivation in the subarctic landscape.

The name Hveragerði translates to "hot spring garden," and the town lives up to its moniker spectacularly. Steam rises from countless vents throughout the settlement, creating an otherworldly atmosphere where vegetables grow year-round and the ground itself radiates warmth beneath your feet.

A Town Built on Geothermal Innovation

Hveragerði's story begins in the early 20th century when forward-thinking Icelanders recognised the agricultural potential of the area's abundant geothermal energy. The first greenhouse was constructed in 1924, marking the beginning of what would become Iceland's horticultural heartland.

Today, over 170,000 square metres of greenhouse space sprawl across the town, producing tomatoes, cucumbers, peppers, herbs, and even tropical fruits like bananas. The geothermal heating maintains optimal growing conditions year-round, with temperatures kept between 18-22°C regardless of Iceland's harsh winters.

The town's geothermal field contains more than 100 hot springs with temperatures ranging from 60°C to boiling point. This natural phenomenon occurs due to Hveragerði's position atop the Mid-Atlantic Ridge, where the Eurasian and North American tectonic plates meet. The resulting volcanic activity creates the perfect conditions for geothermal energy production.

The Greenhouse Experience

Commercial Greenhouses

Several of Hveragerði's commercial greenhouses welcome visitors, offering insight into Iceland's sustainable agriculture. Friðheimar, located 10 kilometres north in nearby Reykholt, represents the pinnacle of geothermal greenhouse technology. Here, visitors can dine amongst towering tomato plants in a restaurant that serves dishes made exclusively from greenhouse-grown produce.

Within Hveragerði itself, smaller operations like Garðyrkjustöðin greenhouse offer tours showcasing traditional Icelandic horticultural methods. Entry typically costs 2,500 ISK (€17/£15), with guided tours available in English during summer months.

Geothermal Park

The town's Geothermal Park (Hveragarður) provides an accessible introduction to the area's thermal features. Wooden walkways wind through bubbling mud pots, steaming fumaroles, and colourful mineral deposits. The park's highlight is a collection of hot springs where visitors can observe the raw power of geothermal energy up close.

Spring temperatures here reach 100°C, with some pools demonstrating the cooking potential of natural heat—eggs are often boiled in designated springs for visitors to witness. Entry to the park costs 1,000 ISK (€7/£6) for adults.

Reykjadalur: The Hot Spring Valley

Hveragerði serves as the gateway to one of Iceland's most popular geothermal hiking destinations: Reykjadalur, or "Steam Valley." This 6.8-kilometre round-trip hike leads to a river where geothermal springs create natural bathing pools.

The trail begins from the town centre, following well-marked paths through varied terrain. The first 2 kilometres traverse gentle farmland before ascending into the mountains. Hikers encounter numerous hot springs, mud pots, and steam vents along the route, with the landscape becoming increasingly dramatic.

The destination is a warm river where temperatures range from 37-40°C, perfect for soaking regardless of weather conditions. The experience of bathing in naturally heated water whilst surrounded by steam and mountain scenery is quintessentially Icelandic.

Allow 3-4 hours for the complete journey, including bathing time. The trail is accessible year-round, though winter conditions require proper footwear and clothing. Weekends see heavy crowds, particularly during summer; weekday visits offer a more serene experience.

Earthquake Heritage

Hveragerði's position on an active geological zone brings both benefits and challenges. The town experienced significant seismic activity in 2008 when a magnitude 6.3 earthquake struck the South Iceland Seismic Zone. The earthquake created new hot springs whilst altering existing ones, demonstrating the dynamic nature of Iceland's geothermal systems.

One remarkable consequence was the appearance of hot springs in previously unaffected areas, including residential gardens. Some homeowners discovered their backyards had become impromptu geothermal sites, with ground temperatures reaching levels suitable for cooking.

The Earthquake Centre (Jarðskjálftamiðstöð) documents this seismic history through interactive exhibits explaining Iceland's geological processes. Located on Austurmörk street, the centre charges 1,500 ISK (€10/£9) admission and offers presentations in multiple languages.

Practical Information

Getting There

Route 1 (Ring Road) provides direct access to Hveragerði from Reykjavík. The 45-kilometre journey takes approximately 40 minutes by car. Regular bus services operate via Strætó routes, with journey times of 1 hour 15 minutes and tickets costing 2,460 ISK (€17/£15).

Accommodation

The town offers several accommodation options, from the upmarket Frost and Fire Hotel (from 28,000 ISK/€195/£165 per night) to budget-friendly guesthouses like Guesthouse Ás (from 15,000 ISK/€105/£90 per night). Many accommodations feature geothermal heating and hot tubs utilising the local springs.

Best Time to Visit

Hveragerði rewards visitors year-round, though summer months (June-August) offer the best hiking conditions and longest daylight hours. Winter visits provide the unique experience of witnessing geothermal activity against snow-covered landscapes, though some greenhouse tours may be limited.

The town's geothermal features create a microclimate that's often several degrees warmer than surrounding areas, making it particularly pleasant during shoulder seasons.

Hveragerði represents Iceland's innovative spirit in harnessing natural resources sustainably. Whether you're interested in geothermal energy, sustainable agriculture, or simply seeking a relaxing soak in natural hot springs, this remarkable town delivers an authentic Icelandic experience that perfectly balances human ingenuity with natural wonder.

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Our Verdict

A practical guide worth reading before you go.