It's not a bug. It's a feature.

Reykjavik

The world’s most northerly capital combines colourful buildings, quirky, creative people, eye-popping design, wild nightlife and a capricious soul. It is the centre of culture and life of the Icelandic people as well as being one of the focal points of tourism in Iceland. The city itself is spread out, with sprawling suburbs. The city centre, however, is a very small area characterized by eclectic and colourful houses, with good shopping, dining, and drinking.