Centrally located, but that also lead to a lot of noise on the street.
We stayed overnight at Hilda Guesthouse from Aug.2-4, 2 nights. The fare
was € 244 for 2 persons, I.E. € 122, pr. Night for a double-room,
without breakfast. For such a price one would expect much more. The
rooms were small, no tv as the webpage said there would be on every
room, the WiFi system did not function properly at the guesthouse, and
the place was very noisy, no soundproofing at all. The price is on the
level of good hotels, with private bathroom, but the quality is way
below. Furthermore, the staff was not on hand at all times at the hotel,
and the breakfast-room was very small, it became extremely crowded when
many came at the same time. The kitchen-staff (One person) had problems
in filling up with necessary foods for the guests.
AND, on top of that, noisy guests arriving in the middle of the night woke up quite a few.
All in all, not a very pleasant experience, and definitely not value for the money spent. A Youth Hostel would have been better, they are usually very quiet, and at a much lower price, and more pleasant breakfast as well. All other stays on Iceland have been very pleasant in both hotels and hostels, but this was definitely not pleasant. And NO VALUE FOR THE MONEY!