Plans to convert an adult megastore into a kindergarten in Iceland have been hit by spiralling costs.

Officials at the Environmental and Planning Department in the Icelandic capital Reykjavik want to convert the former Adam and Eve adult megastore in the area of Kleppsvegur into a nursery school.

However, a recent report showed that the renovation of the adult store into a kindergarten will be considerably higher than first thought.

The City of Reykjavik reportedly bought the premises for ISK 625 million (GBP 3.7 million) in November 2020, and the public response to the planned conversion was positive, with many residents hoping that the new nursery school would help to revitalise the area.

However, original estimations of spending ISK 600 million (GBP 3.5 million) on the conversion have spiralled to around ISK 1 billion (GBP 5.8 million), leaving officials reeling.

A spokesperson for the Environmental and Planning Department said: “It is now clear that if the building is to serve a new role as a safe and healthy kindergarten, the project must be approached in a different and more cost-effective way. However, the scope and cost of the project is similar to new construction.”

If completed, the nursery school will teach between 120 and 130 children.