Grindavík is a fishing town on the Southern Peninsula of Iceland.
It is one of the few cities with a harbour at this coast. Most of the inhabitants work in the fishing industry. The Blue Lagoon, Grindavík's premiere attraction, is located 3 miles (4.8 km) from the town centre.
Landnáma or The Book of Settlements mentions that around 934 two Viking settlers, Molda-Gnúpur Hrólfsson and Þórir Haustmyrkur Vígbjóðsson, arrived in the Reykjanes area. Þórir settled in Selvogur, and Krísuvík and Molda-Gnúpur in Grindavík.
The sons of Moldar-Gnúpur established three settlements; Þórkötlustaðahverfi, Járngerðarstaðarhverfi and Staðarhverfi. The modern version of Grindavik is situated mainly in what was Járngerðarstaðarhverfi.
A short distance to the north, there is the Blue Lagoon (Icelandic: Bláa Lónið), a geothermal spa using hot and mineralized waters from the nearby Svartsengi power station.
The origins of the municipality can be traced to Einar Einarsson's decision to move there to build and run a shop in 1897. During that time the population was only around 360. Fishing had for centuries been a crucial element in the survival of Grindavik's population, but fishing trips were often dangerous. Men were frequently lost at sea and the catch not always stable. However, when a safer access point to land was created at Hópið in 1939, fishing conditions changed dramatically. From 1950 serious development in the fishing industry had begun to take place. Grindavik was declared a municipality in 1974.