New Reykjavík Neighborhood Remains Half-Empty Skip to content

New Reykjavík Neighborhood Remains Half-Empty

Only 32 out of the 115 houses that were constructed in the new Reykjavík district of Úlfarsárdalur are inhabited by the area’s 120 residents. Some of them live in half-completed buildings. Originally, 388 apartments were planned for the district.

Grafarholt, another new neighborhood in Reykjavík. Photo by Páll Stefánsson.

Reykjavík City is responsible for road construction, establishing a sewage system and street lighting. The cost for these operations in neighborhood 1 in Úlfarsárdalur in 2005 to 2008 amounts to ISK 548 million (USD 4.8 million, EUR 3.9 million), Fréttabladid reports.

Last month Fréttabladid revealed that Reykjavík Energy (OR) had invested ISK 2.6 billion (USD 23 million, EUR 18 million) in pipes for new districts in the capital region that are only used to a very limited extent.

According to information from OR, approximately ISK 500 million (USD 4.4 million, EUR 3.5 million) of this amount was spent on establishing pipes for Úlfarsárdalur.

Additionally, contractors have invested considerable amounts of money in developing new neighborhoods, in the billions of ISK most likely.

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