Occupying a commanding and central presence along Austurvöllur Square downtown, across from the Cathedral and the House of Parliament, the circa-1930 Borg is reminiscent of bygone glamour, once the country’s Plaza Hotel and a haven for visiting celebrities and dignitaries. After its original owner retired in 1960, the hotel fell into decline until 1993 when its current owners restored Borg’s Art Deco splendor, earning it a World Travel Award in 2003 as Iceland’s “Best Hotel.” Its small, elegant lobby and 50, individualized rooms are outfitted in Art Deco-style furnishings, Icelandic and fine art prints, and old photographs. It’s not difficult to imagine the Golden Ballroom – which today hosts international jazz and cabaret acts on occasion – as the most luxurious in Scandinavia, as it once was. The four-star Palm Court Restaurant, while quiet by day, bustles in the evening hours, and the bohemian Kaffibrennslan next door is a popular hangout for a drink or coffee.