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Mold forces evacuation and gutting of Dalshraun office building

Thursday 12th November 2026 on 10:16 in Iceland

building damage, Iceland, mould

The Dalshraun 1 office building has been evacuated because of mould, and its interior is being stripped out, mbl.is reported. The businesses based there have moved elsewhere, and the owner plans to reopen the building in April next year.

Lára Hilmarsdóttir, communications director for Reitir, which owns the building, said it was closed after the summer holidays. The companies registered there include the State Diagnostic and Counselling Centre, World Class, Teva Pharma Iceland, Actavis, CrankWheel, Jarðboranir and Medis. Most tenants are expected to return, though some leases are due to expire and changes are possible.

Reitir said moisture damage and mould found during an inspection were caused by construction-related issues involving the building’s exterior. The company did not say whether the leak came from balconies added later.

According to sources cited by Morgunblaðið, the damage is linked to balconies on the top floor. Leaks began after the building was altered to add them, and mould was found on every floor. The building was then evacuated, and the decision was made to remove its interior.

In a written response, Reitir neither confirmed nor denied that the leak was caused by the balcony work, repeating that the damage stemmed from construction issues relating to the exterior.

The building covers 6,300 square metres. Reitir has prepared a cost estimate for the work but does not plan to publish figures. Built in 2009, Dalshraun 1 stands at a busy junction on the boundary between Hafnarfjörður and Garðabær. The adjoining building at Dalshraun 3 is its twin.

Source 
(via mbl.is)