Sauðárkrókur lies on the South West shore of Skagafjörður Fjord. Sauðárkrókur is Skagafjörður's largest population centre and services the local municipality. The old town is very charming - there you will find museums, interactive exhibitions, restaurants specializing in local food, a well-renowned bakery, and a number of little retailers and accommodation options.
Sauðárkrókur combines a thriving fisheries operation with the processing of produce from the extensive agricultural area surrounding it and a very effective service system. The town is one of the busiest most important communities outside the capital, and it would be hard to find better services anywhere outside the Reykjavík area.