Why we add four Junior Suites — and how we’re doing It right

Categories: Board questions Design

A practical guide to a meaningful upgrade


Why are you adding junior suites at all?
The answer lies in where luxury travel is heading. Across the high-end hospitality segment, the expectation has shifted: guests are no longer simply looking for a beautiful room — they want a genuine sense of space, a place to properly settle in rather than perch on the edge of a bed, and the feeling that their accommodation was designed with them specifically in mind. Junior suites have become a baseline expectation at properties positioning themselves in the upper tier of the market.

We looked carefully at what comparable Icelandic luxury properties offer and at broader trends in boutique hotel design, and the conclusion was clear: building junior suites into Hugarro from day one — rather than retrofitting them later — is simply the smarter way to open. Comparable properties like Hotel Rangá charge around €989 per night for a junior suite in high season; Blue Lagoon’s Retreat sits between €1,636 and €2,489 depending on view and season. There is clear, proven demand at that price point — and Hugarro is positioned to offer something genuinely competitive.


Why four suites — is that not too many for a 32-room hotel?
It’s the right number, and we thought carefully about it. Four suites represent just over 12% of our total inventory — enough to be a meaningful premium tier, not so many that scarcity disappears.

We’re placing two suites at each of two separate locations within the property. This allows us to:

  • Create two distinct suite pairings with slightly different character and view angles, giving returning guests a reason to experience the other
  • Spread the footprint across the property, so suite guests aren’t concentrated in one area
  • Build in redundancy — if one pair is fully booked, the other may still be available

How do you create 39 m² suites — what’s the trade-off?
It’s a deliberate and transparent decision. Every three standard modules of 26 m² are reconfigured into two junior suites of 39 m². The middle module is divided equally between the two flanking rooms, giving each suite an additional 13 m² — enough space for a proper sitting area, a larger bathroom arrangement, and genuine breathing room.

The honest trade-off: four junior suites replace six standard rooms, meaning the overall room count reduces from 32 to 28 (net: two standard rooms fewer, across two locations of conversion). We consider this the right exchange — fewer rooms, but a meaningfully better product mix, stronger average revenue per room, and a clearer tiered offering for guests.

A 39 m² suite is comfortably within international junior suite norms, and the additional space transforms the in-room experience without requiring a different building type.


What will the junior suites actually look like?
The design details will be revealed closer to opening, but the guiding principle is that every square metre should be purposeful. Expect:

  • A clearly defined sitting area — not a corner with a single armchair, but a proper space to decompress
  • Enhanced bathroom — more generous layout, upgraded finishes, longer soak time
  • Premium bedding and in-room features consistent with the upgrade price
  • The same iconic Hvalfjörður fjord views that make Hugarro what it is — because the luxury here has always been outside the window, not in the square footage

What the junior suites will not be: a connecting door between two standard rooms dressed up as something it isn’t. That approach is a shortcut we ruled out. Guests at this level are discerning — they research, they read reviews, and they know the difference. The suites are designed as suites from day one.


How quickly can the suites be added — is there major construction involved?
None whatsoever. This is one of Hugarro’s genuine structural advantages: the hotel is built in a fully prefabricated, modular system. The junior suite modules are simply designed and specified differently from the outset — or slotted into the build sequence as a distinct module type. There is no retrofitting, no disruption to existing structures, and no phased construction headache. It’s the same process as adding any other room, just with a different configuration. The modular approach makes this kind of product differentiation not just possible, but straightforward.


How are the junior suites different from the freestanding rotating cabins?
They serve a fundamentally different guest. The junior suites sit within the main building — you have full access to the restaurant, lounge, and shared facilities while enjoying meaningfully more space and a more generous in-room experience. They’re the natural next step for guests who want a more expansive stay within the hotel itself.

The freestanding rotating cabins are a category of their own. At 55 m² / 590 sq ft, they offer:

  • Complete physical separation from the main building — your own retreat, not an upgrade within one
  • The rotating feature: the cabin turns to follow the sun, the aurora, or simply whichever view calls to you — a genuinely rare architectural experience found almost nowhere else in the world
  • Maximum privacy: no shared corridors, no neighbours on the other side of a wall
  • More space — 55 m² versus 39 m² is a meaningful difference when you’re settling in for several nights

The cabin is not just a bigger suite. It is a different kind of stay entirely.


What does each room type cost?

Room Type Size Low Season (Oct–Apr) High Season (May–Sep) Notes
Standard Room 26 m² / 280 sq ft €420–€520 €620–€780 Double room, extra bed option, fjord view
Junior Suite 39 m² / 420 sq ft €680–€820 €950–€1,150 Sitting area, premium bath, priority booking
Rotating Cabin 55 m² / 590 sq ft €1,100–€1,350 €1,600–€1,900 Freestanding, rotating, ultimate privacy

A few notes on how we arrived at these figures:

  • The junior suite sits at roughly 1.5x the standard room rate — in line with what comparable Icelandic properties charge (Hotel Rangá’s junior suites start at approximately €989 per night in high season)
  • The rotating cabin is priced at approximately 2.5–3x the standard room. This is not simply about size — it reflects uniqueness, total privacy, and an architectural concept that has no direct comparator in Iceland. Blue Lagoon’s top suites exceed €2,400 per night; our cabin rate is competitive without being aggressive
  • All rates are room-only. Breakfast packages are available separately, giving guests flexibility while helping the kitchen plan
  • A minimum 2-night stay applies to both junior suites and rotating cabins — this reflects the kind of stay these rooms are designed for, and ensures guests have enough time to genuinely experience them

Will you always be able to book a junior suite?
No — and that’s intentional. With only four suites in the property, availability is limited, particularly across the summer months and aurora season. We  wouild recommend our guests booking well in advance. 

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