Reykjavík is starting work in the coming days on the northern part of Hlemmur, where a new square and infrastructure for CityLine (Borgarlína), the city’s new public transport system, will be built. Public transport will be the only motorized traffic allowed through the square. The city says the project will improve connections through the centre and support environmentally friendly transport, and the phase is expected to be completed by the end of 2027.
What will be built
A contract has been signed with the earthworks company Grafa og Grjót ehf. to carry out this phase. The project is part of the first phase of CityLine, and its lanes will be reserved for public transport and emergency responders. The intersection of Snorrabraut and Hverfisgata will be rebuilt, along with the section of Snorrabraut from Bríetartún to Hverfisgata. The CityLine route through the square will be built and a CityLine stop installed. Sewer, water supply and district heating pipes, electrical wiring, telecommunications lines and traffic signal wiring will be replaced at the same time.
The goal is a walkable urban space with new paving, seating areas and greenery, and more space for pedestrians and cyclists. Earlier project plans also included cycling facilities for bike repair and storage, and stormwater beds, which are planted beds that collect surface water.
Money and partners
| Item | Amount |
|---|---|
| Total cost estimate | ISK 1,190 million |
| Reykjavík City share | ISK 500 million |
Reykjavík City, Veitur Utilities and Transport for the Capital Area (Betri samgöngur) are working together on the scheme, which was put out as a joint construction tender. When the city council approved the procurement process, works were planned to begin in April 2026.
Design and wider plan
The design of Hlemmtorg and CityLine at Hlemmur, the sixth phase of the square, was presented to the city’s environment and planning council. It was developed with Mandaworks, which won the city’s landscape design competition for Hlemmtorg together with DLD Land design. A two-way cycle path will run down Laugavegur and through Hlemmtorg north of the stops. Strætó buses stopped driving to Hlemmur in summer 2024.
One main goal of the Reykjavík Municipal Plan 2040 is that 80% of new homes up to 2040 are built within CityLine’s area of influence. A socio-economic analysis estimates that the first phase of CityLine yields a social benefit of ISK 26 billion, with a return of just under 7%.