Four major business districts in development
"When we look at the overall picture regarding commercial lots in the city, three characteristics stand out. First, there are few large lots remaining. Second, the city has four major business districts in development. And third, many interesting lots are already ready for development in densification areas," says Óli Örn Eiríksson, team leader of economic and urban development for Reykjavík City. He spoke about development in key business areas in Reykjavík at the Economic and Urban Development meeting held last Friday.
Major development projects
Reykjavík City has four major business districts in development and is in talks with numerous companies regarding them. These are Esjumelar, Álfsnes, Hólmsheiði and Sundahöfn, which the city is developing in collaboration with Associated Icelandic Ports. Óli Örn reviewed these areas at the Economic and Urban Development meeting, and the accompanying images are from his presentation.
Esjumelar has developed over recent years, and the city prepares lots for development as needed. Of the newest lots at Bronsslétta, only three lots remain. The city also has areas for expansion both to the east and south, which can be developed in collaboration with interested parties.
Álfsnes is in the immediate vicinity, where the City is working on developing an eco-industrial park with numerous partners. Sundabraut will run through that area, and in the future exciting lots are planned there for companies connected to the circular economy.
The land-use plan for Hólmsheiði is in development, and Óli Örn expects it can be presented this summer. "We are in talks with six large companies about joining the first phase of the area," says Óli Örn, emphasizing that this is only for companies with very strong environmental awareness as it is adjacent to a water protection area.
Development in Sundahöfn will depend on the final route of Sundabraut, but while awaiting the decision from the Icelandic Road and Coastal Administration, many projects there are already underway. A new rescue center will be built near Kleppur, construction has started on a cruise ship passenger terminal at Skarfabakki, and there is a letter of intent for building a quality of life community at Köllunarklettur. "The area is thus half on hold and half in rapid development," says Óli Örn.
Many ready-to-build lots in densification areas
"There are many lots available in areas that already have land-use plans," says Óli Örn, drawing attention to six areas in the city where there is great potential for developing business operations, especially for services and light industry. These areas are
- Hálsarnir, where building permit applications are coming in as lot owners are modifying their lots;
- On Bústaðavegur there are three ready-to-build lots where 3,000-4,000 square meters of retail and service space can be built, which the city allocated several years ago.
- Suður-Mjódd, where a large building is being constructed at Álfabakki 2. A Toyota subsidiary is building retail space at Álfabakki 4, and Garðheimar opened retail space at Álfabakki 6.
- Lambhagavegur. There has been steady development there in recent years, but three lots remain available.
- Norðlingaholt. There are also undeveloped commercial lots there.
- Grandi – a tourism cluster has been forming there with Fly Over Iceland, OmmNomm, LavaShow and Northern Lights show, to name a few. "The area will develop gradually," says Óli Örn, referring to it being within the Associated Icelandic Ports area.
Images of these areas can be seen in Óli Örn's presentation.
The Economic and Urban Development meeting was well attended. Photographs: Reykjavík City/ Róbert Reynisson