Iceland during Summer has a shortage of decent hotel rooms. However, this room was underwhelming even for low Icelandic standards. We paid €170/night for a tiny room with shared bathroom in a shed, visible plumbing, uncomfortable beds, and a trivial breakfast. I am used to hostels and third world backpacking, so it wouldn’t have been a problem at a lower price point, but at €175, this is a daylight robbery. I hope proper hotel chains come in and build decent accommodation, because now it just seems that few locals that have property here are massively exploiting the tourists with few options. Anyway - lower your expectations all who seek to sleep here.