The AA House at Blöndubyggð 1 in the old town of Blönduós was built around 1925. The house was expanded in 1933 and became the site of Kristinn Magnússon’s store. The Kaupfélag Húnvetninga (a local cooperative) opened a branch there in 1944, with Kristinn Magnússon serving as branch manager.

The AA organization acquired the house shortly before the turn of the last century, and it was then significantly renovated. Today, the AA House is part of Hotel Blönduós. The entire house has been thoroughly refurbished, with renovations completed in the spring of 2025.

The house now contains two luxury apartments—one with a kitchen. Both have private entrances, bathrooms, bedrooms, and private decks. The apartments can be connected and rented together as a single unit.

There is a spectacular view from both apartments, as the house sits by the estuary of the Blanda River and the sandy beach in the old town of Blönduós. Each apartment includes a double bedroom.