The centre of cultural life in Akureyri is on Kaupvangsstræti, which curves through Grófargil in the middle of Akureyri. This street's nickname is Arts' Alley.

For a long time, there were extensive industrial operations there that gradually moved elsewhere, freeing up a lot of housing that perceptive people saw was ideal for all kinds of art activities. These include the Akureyri Art Museum, the Akureyri School of Visual Arts, and North Iceland artists' studios, smaller galleries, restaurants, the multipurpose Deiglan and Ketil-hús and guest studios for artists coming from all over.