A brand new Geothermal forest spa is set to launch in April near Akureyri, in Northern Iceland.

The story behind Forest Lagoon began in 2014 when workers digging inside the Vaðlaheiðargöng heath – for an unrelated project – accidentally discovered a new geothermal hot water spring.

Now, the water source will serve as the beating heart of the 1,300sq m facility and power infinity-edge geothermal pools with soaring views of Eyja, one of Iceland's longest fjords, and the city of Akureyri.

Immersed in the Vaðlaskógur forest and integrated into the mountainside, Forest Lagoon will also feature a sauna, relaxation room, two swim-up bars, a restaurant and locker rooms.

The spa's location has been selected to benefit guests both physically and mentally through forest bathing and natural hot springs bathing.

The facility is being designed with sustainability in mind by architecture firm Basalt Architects – also the creative driving force behind Iceland’s iconic Blue Lagoon location.

It appears activity in the Icelandic bathing and wellness scene is heating up as Forest Lagoon will open in direct competition with Blue Lagoon and the recently opened Sky Lagoon. Click here to read more about the Icelandic wellness market in our recent Spa Business feature.

Speaking to CNN, Forest Lagoon owners Sigríður Hammer and her husband Finnur Aðalbjörnsson revealed that construction began in 2021 after they bought 250 hectares of land and acquired rights to use the runoff water.

The couple expressed hopes to expand Forest Lagoon with a hotel and traditional spa facility in future, depending on the success levels and interest following the official launch.

Day admission for one guest at Forest Lagoon starts at kr5,800 (US$47, €41, £34), while rates for couples, including beverages, start at kr13,900 (US$112, €98, £82). Discounted prices will also be available for groups of five and 10.