Gufunes development sells 59 apartments as buyers seek smaller homes

Fifty-nine of the 69 apartments that property developer Spilda put up for sale in Gufunes, Reykjavík, in June have sold, despite a slowdown in sales of new homes. mbl.is reports that the company’s managing director and co-owner, Gísli Reynisson, attributes the interest to a combination of factors, including demand for smaller apartments.

“There is a need in the market for smaller apartments, and we are meeting it,” Reynisson said. Some of the homes also qualify for shared-equity loans. He pointed to features including floor-to-ceiling windows, higher ceilings, underfloor heating, stone kitchen worktops, fitted furnishings and basement parking. The apartments are handed over with flooring, a fridge and a dishwasher, ready to move into.

Reynisson said the neighborhood’s layout had helped create a strong community, with benches and paths by the sea and in courtyards between buildings. He also described the area as sheltered, saying nearby Geldinganes acts as a windbreak.

Spilda has built and sold more than 200 apartments since 2023 and has another 200 under construction. It also has 250 apartments and commercial premises in development. All 102 apartments it completed on Mýrargata three years ago have sold.

Buyers in Gufunes include young families, first-time buyers and older people moving from Grafarvogur to smaller homes. Prices start at 43 million Icelandic krónur. The average size of apartments sold is 78 square metres, Reynisson said.

The neighborhood stretches along the coast, with access to a sandy beach below. Reynisson said residents use the waterfront for activities including kayaking and sea swimming.

Spilda plans to complete all construction in Gufunes by 2032. Sales are expected to begin in early 2027 for a 31-apartment building at Jöfursbás 3E, where Reynisson said a waiting list has already formed. The apartments, ranging from 52 to 180 square metres, are due to be handed over in June 2027.

The building will have a standard ceiling height of 2.8 metres, and 90 per cent of the apartments will have views in two directions. Nordic Office of Architecture is designing the project. Reynisson said the development is surrounded by unusually unspoilt nature for a project in Reykjavík.