
Paloma
Paloma is the closest thing Reykjavik has to a proper nightclub, occupying the upper floors of a building on Naustin, a short alley off Tryggvagata near the harbor. The venue spreads across multiple rooms, each running different music on weekend nights. Capacity hovers around 300, making it the largest dedicated club space in central Reykjavik. The layout is raw and industrial, with concrete walls and minimal decoration.
What to Expect
Multiple rooms with different music, a young crowd that's there to dance, and an atmosphere that builds from quiet to packed between midnight and 2 AM.
Raw, industrial, and high-energy after midnight.
Electronic, techno, house, hip-hop, and R&B across different rooms
Casual to smart casual. Dark clothing works.
People who want to actually dance. Paloma draws the crowd that stays until 4:30 AM.
Cards and cash accepted.
Price Range
Beer 1,800-2,000 ISK, cocktails 2,800-3,500 ISK, cover 2,000-3,000 ISK
Beer ~$13-15 USD / ~12-14 EUR, cocktails ~$21-26 USD / ~19-24 EUR
Hours
Fri-Sat 23:00-04:30 (occasional Thursday events)
Insider Tip
Arrive before midnight to skip the line. The smaller side rooms often have better music than the main floor. Coat check fills up fast in winter.
Full Review
Paloma doesn't try to compete with clubs in larger cities on production value. There are no elaborate light shows, no VIP bottle service, and no velvet ropes. What it offers instead is a multi-room space where people come to dance, drink, and stay out until the sun comes up (or doesn't, depending on the season).
The main room handles the biggest crowds and the headlining DJ. Sound is loud and the space gets hot when full. Smaller rooms off the main area run parallel programming that often turns out to be the highlight. A hip-hop room might have 40 people moving to a local DJ's set while the techno room next door shakes the wall between them.
Bar service is functional. Lines form during peak hours, and the selection is standard. Don't expect creative cocktails; this is a club, not a lounge. Beer and vodka-based drinks are the practical choices.
The crowd skews younger than Kaffibarinn or Hurra. University students, young professionals, and tourists looking for the closest thing to a club form the mix. The atmosphere is friendly despite the loud music.
The Neighborhood
Paloma is on Naustin, a short side street off Tryggvagata near Hurra and the harbor area. The walk from Laugavegur is about 5 minutes.
Getting There
From Laugavegur, walk north toward the harbor. Naustin is a small alley off Tryggvagata. Look for the entrance and the line forming outside on weekend nights.
Other Venues in Laugavegur

Kaffibarinn
Iconic Reykjavik bar partly owned by Blur's Damon Albarn. Small, packed, and loud on weekends with DJs spinning until closing.

Hurra
Live music venue and bar that hosts local and international acts. Transitions into a DJ-driven dance floor after midnight on weekends.

Kiki Queer Bar
Reykjavik's main LGBTQ+ bar on Laugavegur. Welcoming to everyone, with drag shows and themed nights drawing a mixed crowd.

Gaukurinn
Alternative music venue known for punk, metal, and indie acts. Regular comedy nights and open mic events round out the schedule.

Pablo Discobar
Cocktail bar with a Latin American theme on Veltusund. Strong drinks, colorful decor, and a party atmosphere on weekends.