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Whether you’re chasing the ultimate indulgent experience or a beer with a local, Iceland’s lagoons promise unforgettable experiences.

With Iceland’s recent volcanic activity temporarily shuttering the country’s famous Blue Lagoon (it has reopened), many travelers are asking whether they should visit the newer Sky Lagoon near Reykjavik instead. While both promise relaxing and rejuvenating experiences with their own ‘rituals,’ they offer different amenities that cater to a variety of travelers.

Here’s a detailed comparison to help you decide which lagoon deserves a spot on your itinerary — or whether both the Blue Lagoon and the Sky Lagoon are worth a visit. (The short answer: Do both.)

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Sky Lagoon looks out to the sea. Courtesy of Sky Lagoon by Pursuit

Who Should Visit Which?

Blue Lagoon Iceland: Ideal for luxury seekers, wellness enthusiasts, and first-time visitors looking to soak in Iceland’s most famous spa. It’s 45-minutes from the city with time-consuming (and expensive) public transportation, so it’s best visited with a rental car or with 1-2 days to spend (and the budget) at The Retreat. It’s ideal for those who want an all-inclusive experience with dining, accommodation, and relaxation in one place.

Sky Lagoon Iceland: Best for time-conscious travelers, visitors based in Reykjavik, and those seeking a social, local vibe with fewer tourists in a more intimate environment. Its proximity to the city makes it a convenient stop, while the design offers a strong sense of Icelandic heritage and culture. The 7-step ritual provides an active, social, and invigorating experience and is included in the ticket price for all visitors.

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Exterior of The Retreat at The Blue Lagoon. Courtesy of Blue Lagoon Iceland.

Blue Lagoon Iceland: A Quick History of an Iconic Attraction

The Blue Lagoon is synonymous with Iceland’s geothermal allure, drawing visitors from across the globe. In fact, many tourists fly to Iceland as a stopover to another destination and only ever visit the Blue Lagoon in an attempt to tick off a bucket list activity. (A shame given how much there is to see in Iceland, but I digress.) I first visited the Blue Lagoon in May 2015, nearly a decade ago and long before the current sprawl of facilities had grown into its current form.

Located in a lava field about 45 minutes from Reykjavik, the expansive Blue Lagoon geothermal spa has earned fame for its milky blue waters rich in silica and algae. The lagoon started in 1976 as a byproduct of runoff water from the Svartsengi geothermal power plant.

Workers, after a long day on the job, started bathing in the warm water. By 1981, Icelanders had started to enjoy the waters. That year, a psoriasis patient reported a benefit beyond relaxation: a reduction in itchy or painful plaques and overall irritation from their skin malady. By 1987, the lagoon’s geothermal seawater had drawn the interest of scientists and doctors, with proper bathing facilities and controlled entry launched that year. By 1992, Blue Lagoon Limited was founded. Medical treatment for psoriasis patients became available. The R&D center opened in 1993, leading to the foundation of a medical spa and by 1995, a line of skincare products.

In 2016, the company enlarged the lagoon (a year after my visit) and opened the Silica Hotel. In 2018, the company opened an upscale boutique 60-room hotel, The Retreat. Moss, the flagship restaurant of the property earned a Michelin recommendation in 2019. In 2021, Blue Lagoon Ltd. launched another skincare line, the BL+, its line of products based on 30 years of research.

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The private spa at The Retreat. Courtesy of Blue Lagoon Iceland

Blue Lagoon Amenities: Accommodation, Dining, Skincare

The Blue Lagoon elevates its appeal as a destination-worthy visit with its two on-site hotels. The Retreat Hotel, an ultra-luxurious property, features 60 spacious, modern rooms, private suites, a gym and yoga space, plus exclusive access to a secluded section of the lagoon and the 3-step ritual in its subterranean facilities. For those seeking comfort at a lower price point, Silica Hotel provides stylish accommodations and its own private lagoon.

Dining at Blue Lagoon is another highlight, with options to suit different tastes and budgets. Moss Restaurant, awarded a coveted Michelin star in 2023, serves gourmet Icelandic cuisine with a focus on local ingredients. It also boasts a strong wine program, with the wine cellar sitting below the restaurant within excavated lava rock. It’s worth a look for oenophiles as it’s probably the only lava cellar in the world. For a more casual atmosphere, Lava Restaurant offers hearty meals with expansive lagoon views. The Spa Restaurant at The Retreat serves lovely fresh fish, sushi, Icelandic potatoes (a must try!) and healthy dishes.

The Blue Lagoon’s unique minerals have inspired a proprietary line of skincare products available on-site and internationally. Visitors often leave with a bottle of silica mud or algae serum as a memento of their visit.

Blue Lagoon Iceland Spa Facilities

Silica guests and Blue Lagoon day pass visitors have access to the main lagoon, sauna, steam room, and steam cave. For day visitors – those who arrive via rental car, taxi (wildly expensive and not advisable), bus ($35 one-way from the city or airport; $70 round-trip), or on an excursion, have a few options.

Comfort from $73: Comes with access to the lagoon, a mud mask, a drink, and a towel.

Premium from $95: Same as above plus 2 drinks, additional mud masks, plus a robe.

Signature from $121: Same as above plus a silica and mineral mask to take home.

The Retreat Hotel guests and those who book The Retreat Spa for the day have access to private lagoon pools and an intimate sanctuary with a 3-step ritual that includes exfoliation, silica and algae masks, and a body oil to finish. The Retreat has a steam room, sauna, cold plunge, and separate access to the main lagoon, plus access to the spa’s restaurant. Day passes for The Retreat start at $578 for five hours with a private changing room, skincare amenities, and a drink. (There are different and more comprehensive packages you can explore here.)

Guests of the general admission lagoon and The Retreat can book spa treatments, including signature in-water massages and float therapy.

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Retreat Hotel Lobby View. Courtesy of Blue Lagoon Iceland.

Sustainability at Blue Lagoon Iceland

As one of Iceland’s most famous attractions, the Blue Lagoon takes its environmental responsibility seriously. The lagoon is powered by geothermal seawater sourced from a nearby power plant, transforming a byproduct of energy production into a world-renowned wellness experience. The company earned B Corporation (B Corp) Certification in July 2023; Vakinn Certification in 2015 (Iceland’s official quality and environmental system for the tourism sector); and COSMOS Certification in 2020 from Ecocert for its skincare products.

Sustainability is also embedded in the design of its accommodations. The Retreat Hotel, for example, integrates natural materials such as lava rock and moss into its construction, while energy-efficient systems reduce environmental impact.

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Sky Lagoon incorporates the island's traditional architecture. Courtesy of Sky Lagoon by Pursuit.

Sky Lagoon: Modern Yet Timeless

The Sky Lagoon, just 15 minutes from downtown Reykjavik, is a newer addition to Iceland’s spa scene. Sky Lagoon opened in 2021 during the pandemic and immediately captivated locals looking for something to do outside their homes. What ingratiated the spa with locals beyond the new-factor of a bathing experience was the spa’s careful design which emulated the landscape through the use of local materials like lava rock.

The exterior of Sky Lagoon draws inspiration from traditional houses. Low-slung and simple but elegant, it features a distinctive turf wall made from dirt and volcanic ash that reflects Iceland’s early architectural heritage. Designed to blend seamlessly with its coastal surroundings, the lagoon itself features an infinity edge that creates the illusion of merging with the Atlantic Ocean.The Lagoon has a waterfall, a bar, and various nooks for socializing. One can watch the volcano erupting from the water and the Northern Lights dancing over the water from the comfort of a geothermal pool.

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The 7-step ritual includes a salt rub then a steam. Courtesy of Sky Lagoon by Pursuit.

The 7-Step Ritual

While soaking is a prime attraction, Sky Lagoon’s 7-step ritual proves a standout feature, offering an immersive experience that feels like a mini tour through Iceland’s cultural identity. Guests start with a warm soak, then move through a cold plunge, a sauna with panoramic ocean views, a chilly open-air mist room, followed by an exfoliating salt and oil scrub, a steam room and shower. The experience concludes with a sip of crow berry herbal tea, followed by a final soak in the lagoon. This comprehensive process promotes relaxation, circulation, and skin renewal.

Unlike the Blue Lagoon, the Sky Lagoon does not offer on-site hotels or full-service dining. Sky Lagoon does have a relaxing cafe with excellent local bread and pastries, cheese boards, and coffee, tea, beer, wine, and cocktails for pre- or post-soaking snacking and socializing. Sky Lagoon has a retail area offering local handmade products like wood animal carvings, sea salts, and their signature lotion and soap which guests experience in the changing rooms. Sky Lagoon takes inclusivity seriously not just in gender but in accessibility. The spa offers accessible facilities for guests who use wheelchairs or have mobility or invisible disabilities. Another key concern to note: Only children over age 12 are allowed.

Sky Lagoon has two options for changing rooms: a public space with showers and lockers, divided by gender, called Saman, and private showers and lockers called Sér. Icelanders, less modest than most Americans, tend to be comfortable with the public facilities. Any guest that is transgender, non-binary, or in transition, will be upgraded to the private changing room for free.

Saman from $75: Includes Sky Lagoon’s signature Skjól ritual and access to public changing facilities.

Sér from $99: Includes Sky Lagoon’s signature Skjól ritual and access to our private changing facilities.

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Sky Lagoon is great for sunrise, sunset, and even catching the northern lights. Image by Lauren Mowery.

Sustainability at Sky Lagoon

Through its architecture, interior design, to the steps of the ritual, Sky Lagoon embraces a contemporary approach to traditional bathing culture that blends seamlessly into the natural environment. The lagoon was built with local materials by local artisans, is heated using geothermal energy, and eschews the use of plastic. Retail products come from local craftspeople, while the storytelling throughout the experience promotes and preserves local culture.

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Guests enjoying the bar at Sky Lagoon. Courtesy of Lauren Mowery.

Blue Lagoon or Sky Lagoon: Which lagoon to visit?

The Blue Lagoon Iceland and Sky Lagoon each offer a unique take on Iceland’s bathing culture and geothermal waters. The Blue Lagoon delivers a luxurious, world-renowned experience with an emphasis on innovation, beauty, and hospitality from its spas, hotels to dining. However, Sky Lagoon charms with its modern design, social ambiance, and minimalist approach to design and integration into the landscape.

Whether you’re chasing the ultimate indulgent experience or a beer with a local, Iceland’s lagoons promise unforgettable relaxation and are well worth the time involved in visiting. Iceland’s bathing culture will ensure you slow down and soak up, literally, your surroundings. If time allows, visit both and compare them for yourself.

Founder and CEO of Azure Road, Lauren Mowery is a longtime wine, food, and travel writer. Mowery continues to serve on Decanter Magazine’s 12-strong US editorial team. Prior to joining Decanter, she spent five years as the travel editor at Wine Enthusiast. Mowery has earned accolades for her writing and photography, having contributed travel, drinks, food, and sustainability content to publications like Food & Wine, Forbes, Afar, The Independent, Saveur, Hemispheres, U.S. News & World Report, SCUBA Diving, Plate, Chef & Restaurant, Hotels Above Par, AAA, Fodors.com, Lonely Planet, USA Today, Men’s Journal, and Time Out, among others.

Pursuing her Master of Wine certification, she has also been a regular wine and spirits writer for Tasting Panel, Somm Journal, VinePair, Punch, and SevenFifty Daily. Mowery is a graduate of the University of Virginia and Fordham Law School, and she completed two wine harvests in South Africa.

Follow her on Instagram @AzureRoad and TikTok @AzureRoad