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The Retreat at Blue Lagoon was designed by Sigríður Sigþórsdóttir, founding partner of Basalt Architects, who initially created the Blue Lagoon Spa, Silica Hotel, and subsequent expansions. She collaborated with Sigurður Þorsteinsson and Design Group Italia to complete the overall project. The hotel fulfills the vision of founder Grímur Sæmundsen to transform the Blue Lagoon into a center for health and well-being. Its design seamlessly integrates with the natural beauty, minimizes environmental impact, and determines the architectural layout through in-depth analysis of volcanic fissures.

The hotel’s design incorporates flexibility, enabling the plan to be adjusted based on unexpected discoveries during excavation, ultimately achieving a seamless integration with the natural environment. Architects used the concepts of “cracks” and “fissures” to plan the functional layout, defining boundaries like strings on a lava field and protecting the fragile ecosystem. Unique lava formations discovered during construction were incorporated into the design, breaking away from traditional architectural models. Relying on collaboration among designers, owners, and construction teams, natural elements such as mineral waters, ancient moss, and lava were transformed into the core of the space, allowing visitors to connect with nature in comfort.

The interior design of the hotel centers around simple, neutral forms, exclusively using B&B Italia furniture. Deep gray seating, wooden paneling, and elegant lighting fixtures blend into charcoal-black walls, mimicking the forms of the surrounding landscape. Architects aimed to make lava, moss, and water omnipresent, creating an architectural experience deeply intertwined with natural elements. Drawing inspiration from the shapes, colors, and textures of the landscape, the design fosters an atmosphere where the building and environment merge seamlessly.

The hotel lobby features concrete walls with gray and white textural variations and displays ceramic works from the collection of the Icelandic Museum of Design and Applied Art, creating a space that blends natural textures with humanistic art.

The hotel offers a diverse range of dining experiences, including the lobby café, Moss Restaurant, Lava Restaurant, and Spa Restaurant, each integrating unique natural landscapes, design aesthetics, and local culture to provide guests with a visually and gastronomically enjoyable dining environment.

The lobby café, Blue Café, offers a variety of delicious snacks and beverages, with stunning views of the Blue Lagoon.

Moss Restaurant is located at the highest point of the Icelandic Blue Lagoon, boasting a magnificent backdrop of centuries-old moss-covered lava fields and Mount Þorbjörn. The restaurant exudes a warm atmosphere, featuring a design that incorporates a chef’s table crafted from on-site excavated lava, large lighting fixtures equipped with 106 independently controllable OLED panels, and unpublished special edition furniture by 20th-century Icelandic designers. The interior also showcases a custom lava wall installation by Icelandic artist Ragna Róbertsdóttir and houses an underground wine cellar, whose lava walls, naturally oxidized by lava that flowed through the Reykjanes Peninsula 800 years ago, exhibit a unique red hue. The exposed rock walls, illuminated by a combination of bottom lighting and pendant lights, create a dramatic, subdued ambiance.

Lava Restaurant is perched on an 800-year-old lava cliff on the west shore of the Blue Lagoon, offering guests a memorable culinary experience with vibrant cuisine and captivating design.

Spa Restaurant allows guests to enjoy delicious meals and a charming atmosphere before, during, or after their spa treatments. Guests can dine in bathrobes or formal attire without the need for reservations.

Inside, lava is incorporated into the space in various forms, such as the reception desk and the chef’s table in Moss Restaurant, which is crafted from on-site excavated lava. The warm wooden textures are juxtaposed with the rough surfaces of concrete and lava, creating an authentic and inviting resort atmosphere. Natural materials subtly permeate every detail, constructing a deeply comfortable environment inspired by nature. The lighting design cleverly preserves the characteristics of Icelandic natural light while providing adjustable artificial lighting for vitality, relaxation, or interaction.

The overall building materials of the hotel are selected to harmonize with the colors and textures of the natural landscape, primarily featuring raw concrete, wood, and on-site lava. Concrete structures often utilize prefabricated components, reducing environmental disruption from on-site construction. Exposed concrete walls are treated to exhibit varying textures and tones, echoing the natural forms of white sinter and gray lava.

The Retreat Spa spans over 4,000 square meters and extends three meters into the volcanic strata, creating a tranquil and unique experience space that allows guests to feel the natural wonder of geothermal seawater in an exclusive environment.

The hotel’s custom facade and screens feature a dark grey hue and perforated pattern that echoes the building’s native exposed lava walls. These design elements mimic the permeable texture of solidified igneous rock.

The resort features two major accommodation facilities: Silica Hotel and The Retreat Hotel. Together, they offer 62 suites, ranging in size from 40 to 200 square meters, all designed with a single-sided layout. The spa experience extends into each room through freestanding bathtubs and landscape showers. Floor-to-ceiling panoramic windows focus views on the Blue Lagoon or moss-covered volcanic rock landscapes, which dynamically change with Iceland’s natural light. 

The suites at The Retreat resemble a castle surrounded by waters, with architectural structures both embedded in and perched above the lava strata, skillfully blending the natural boundaries of water, earth, moss, and sky. As Sigurður Thorsteinsson, Chief Creative Officer of Design Group Italia, said, the Blue Lagoon creates a unique feeling of being on an isolated island in the middle of a lava field.

Suites at Silica Hotel allow guests to overlook the turquoise waters of the famous Blue Lagoon directly from rooms embedded in lava formations.