if you're looking for comfort in a quiet house and tend to spend quite some time in the hotel, i wouldn't recommend it to you.
especially room 207, which has an "ac-pipe" running straight through the room, and because of that is pretty noisy (night and day).
if you want a pretty cheap (for icelandic standards) hotel room with free wi-fi, free parking lot (if available), and very near to the center, but not too near so you would get annoyed by the many, many parties that happen in downtown reykjavik on the weekends, then this is your hotel of choice.
breakfast is alright, lots of stuff to choose from.
helpful and friendly staff,
i would stay there again, but not in room 2007 ;-)