So this is Old Reykjavík, or part of it, with the pond in the foreground. You see Mount Esja in the background (947 m high, many people in Reykjavík regularly climb to the top, some do so every morning before breakfast, they mostly work for the government). Here you can also see the old City Theater on the far left, est. 1897, then the Central Bank (modern, grey), then the white facade of Reykjavík College, est. 1846, with a white flagpole, thereafter the mere top of the National Theater in the middle of the picture (also grey), the big light-painted building in the foreground was the first elementary school in town, farther right you see an old church, and then, encircled, an old fish processing plant that was recently converted into an art museum, a perfect example of the ongoing transformation of the Icelandic economy from agriculture and fisheries to manufacturing, services, and the arts, a rapid but on the whole reasonably well organized process during which we, having lost so much time and, therefore, being in a bit of a hurry, often skipped a few intermediate steps like railways and such. No trains, no trees: welcome to Reykjavík, Iceland.
For more, see Reykjavík.
This wooden tower is also visible in the picture at the top of the page, to the left of the elementary school. My wife's great grandfather, whose published autobiography is entitled My World History, ran a business on the ground floor of the tower for a while and lived upstairs. My wife prefers more spacious quarters.