This cache is located in the grounds of Höfði, a house built in 1909. It was built for a french consul, and was also the home to an Icelandic poet Einar Benediktsson later on. The house is allegedly haunted! People have different opinions on who she was, but whoever she appeared as frightened John Greenway (a British politician) enough to ask to have different accomodation during his stay.
Höfði is most well known for the 1986 Summit meeting between Ronald Reagan and Mikhail Gorbachev discussing the Cold War. They chose Iceland, as it was considered to be middle ground.