Possibly as close as you can come to sleeping in an Icelandic lava field while cradled in extreme luxury, The Retreat Hotel at Blue Lagoon adds an entirely new dimension to wellness travel. Located adjacent to what’s become a pilgrim’s experience for visitors to Iceland, the newly opened hotel has its own private soaking lagoons that source the same restorative thermal waters as the original pools, flowing in curving rivers cradled by lava that wind along the serene suites.

Recently, I had the great pleasure of staying overnight at the new property. The hotel is of special interest to me as I’ve been visiting the Blue Lagoon since its original incarnation as a vast pool with somewhat austere changing rooms. Since then, restaurants and spa spaces have been added, along with a research center and a small hotel. With the addition of the extraordinary luxury offered by The Retreat Hotel, it seems impossible there’s any way left to improve the guest experience.

Retreat Lagoon © Blue Lagoon Iceland

The spa, of course, is the central draw. The unique blend of silica, algae and minerals in the milky blue geothermal waters have made the Blue Lagoon famous, and have been studied since the early 1990s. Sourced from volcanic aquifers located more than 6,500 feet below the earth’s surface, the unique mineral content derives from an intensely scorching collision of sea water and fresh water.

Guests at The Retreat Hotel (along with a limited number of day visitors) have access to private pools and extraordinary bathing areas. Guests can book therapies and treatments or simply embark upon the self-guided Blue Lagoon Ritual. In a series of wide, stone-floored spaces, guests coat themselves with layers of silica mud.

Once it’s dried and rinsed off, the next step is to scoop a gel-like algae blend from a central reservoir and apply it head to toe. After the algae has also dried and been rinsed off, the cycle ends with a final application of enriching minerals to the body.

Before or after your ritual, soak in the pools in the watery turquoise complex and luxuriate in the underground spaces that include a lava rock steam chamber, sauna, lava spring and a relaxation area with hanging chairs overlooking the water, or a cozy room lit by fire where you can sink deep into comfy day beds. Within the hotel, there’s a separate, dedicated yoga space offering daily classes.

Retreat Lounge © Blue Lagoon Iceland

The vision of Blue Lagoon Iceland founder and CEO Grímur Sæmundsen, MD, the new two-story hotel complex is comprised of 62 expansive suites done up in peaceful shades reflecting the green moss, blue water and gray sky defining this corner of the Icelandic landscape. Guests step through the door into a wide lobby and reception area that makes the most of views with a wall of floor-to-ceiling glass windows overlooking the lagoon river. It’s also where the breakfast buffet is laid out, and where an exhibition of vintage Icelandic ceramics is beautifully displayed.

The design was conceived and executed by Sigríður Sigþórsdóttir, a founding partner of Basalt Architects. Sigþórsdóttir spent time camping in the surrounding lava fields in order to determine the best site for the new hotel, resulting in a structure that feels truly organic to the landscape. Sigþórsdóttir and her team merged and assimilated significant or unusually beautiful lava formations into the design features.

Inside, Nordic sophistication prevails, from stone and wood to the use of light. Suites are television-free, not that you’re likely to notice. Glass walls open to terraces where the quiet blue water flows past on its journey to the spa pools, framed by the thrust and crag of the surrounding native lava. Spa bathrooms feature branded Blue Lagoon body care products, blended with the geothermal water’s healing components. Before you fall asleep, cuddle into your room’s Icelandic wool wrap and make yourself comfortable on the terrace. If conditions permit, your dreams may include visions of the wild Northern Lights dancing across the wide skies above.

Retreat, Spa, Restaurant © Blue Lagoon Iceland