I've been scouting out hotels and made notes about some that were recommended by a few members here, including the 4th Floor Hotel in Reykjavik.
However, when I went to Google to look it up, Google had a note in bold black letters saying that it is permanently closed. I then went to the website, which said in bright red letters under Pricing and Availability, "This accommodation has no rooms available for your travel dates." Since I had not yet put in a travel date, I'm assuming this is their way of saying you can't book anything.
I am assuming that Google is correct, and it is permanently closed.