South coast save haven
Right on the crossroads between The Golden Circle and The South Shore, on the banks of the great river Ölfusá, lies the save haven of Hotel Selfoss. The location is pretty great, four stars complete with a spa, a bar and the solid Riverside Restaurant, plus all other services less than a mile away.
Whether you are planning to do the south shore, any variation of the Golden Circle or even do a tour of Reykjanes, this would be a good choice either as your stop for the night or your base of operations. The hotel is comfortable, has a well stocked bar and the restaurant sports an alluring menu of mostly local ingredients and locally inspired dishes with a certain cosmopolitan air. See if they have any rooms available with a view of the river, otherwise just hang in the bar/restaurant and enjoy looking at the steady flow of glacial water under the bridge right outside the window. The service is friendly and professional and the staff very much aim to make your stay the best possible.
Hotel Selfoss is also a good choice since the town has all the shops, supermarkets, pharmacies and other services that you might need and may not necessarily be available, or shall we say scarce, for the rest of the south coast. Also, if you are spending time here in winter and hoping to catch a glimple of the northern lights, there is quite often a clear sky either to the eats, west or down by the coastline, so for that purpose you are very well situated. And in summertime it´s not just the main routes that criss cross the area to see, but you are also close to some of the roads leading into the highlands and numerous outdoors activities such as river rafting, kayaking, horsriding etc.. All in all you are in a good place.