Welcome to Water World

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Stockholm this year celebrates the centenary of the Nobel Prize, an event that has already been marked by a major exhibition in the old Stock Exchange building at Stortorget (open 10 a.m. to 6 p.m. daily). The exhibit, "Cultures of Creativity," explores the life and work of Alfred Nobel, inventor of dynamite and one of Stockholm's most illustrious citizens. The prize he established, first awarded in 1901, has subsequently gone to more than 700 scientists, writers and peacemakers for their contributions to humanity. The exhibit also examines the qualities needed to foster creativity and courage, and it explains how nominees and winners are selected.

Being Nobel's hometown is not Stockholm's only claim to fame. With more than 70 museums, as

STREETWISE Restaurant: Källaren Diana, Brunnsgränd 2-4. Tel. +46 (0) 8 10 73 10. This 16th century vaulted brick cellar serves traditional Swedish cuisine, such as roasted fillet of Baltic herring. Open daily from 5 p.m. Jogging: Rålambshov-sparken, Stockholm's version of Hyde Park, is full of paths for jogging and strolling. It also offers stunning views over Knight's Bay. Best Buy: Stockholm Card — around $35 for 48 hours — allows users access to 70 museums, sights and attractions, free public transport and a one-hour boat tour. Cards can be purchased at tourist information offices. Relaxation: Centralbadet, Drottninggatan 88. Tel. +46 (0) 8 24 24 02. This early 20th century indoor pool and Turkish bath is great after a day of sightseeing. Open 6 a.m. - 8.30 p.m. weekdays; 8 a.m. - 8.30 p.m. weekends. Admission $9. Lodging: Långholmen, Langholmsmuren 20. Tel. +46 (0) 8 668 05 00. This former prison was revamped to accommodate law-abiding citizens in single and double cells ranging from about $95 to $125.

well as historic buildings and parks, the Swedish capital is a smorgasbord of art, culture, history and nature.

But what defines this city most is its dramatic waterfront, which conjures up images of Viking ships sailing among the 14 islands on which the town was built. The islands, called skärgård (archipelago), lie on Lake Mälaren, which marks the beginning of an archipelago that leads to the Baltic Sea. Vikings plied these waters long before Stockholm was founded in the 13th century, and a new permanent exhibit at the Museum of National Antiquities (Narvavägen 13-17, open daily 11 a.m. to 5 p.m.) shows how Viking culture, ideas and technology influenced Sweden's development. To learn more, visit Birka, their ancient settlement on the nearby island of Björkö, where archaeological excavations testify to a Viking presence dating back more than 1,000 years.

Wherever you go in the city, water is never far away. Because Stockholm lies on so many islands, the city is full of bridges linking the waterfront and harbor with the narrow cobblestone streets of places like Gamla Stan — the Old Town. The water unites the city, bringing together its different neighborhoods and its varying architectural styles, which range from medieval to Renaissance to modern. Stockholm is best seen from the water.

Take a ferry from Strandvägen or Strömkajen harbors (one-hour canal tours cost around $9) to appreciate some of the islands closest to the city. One of them, Djurgården, once the king's hunting ground, is worth a visit for its parkland and glimpses of local history and traditions. Like most islands around Stockholm, Djurgården is an oasis of Nordic flora and fauna where locals go to relax and enjoy the outdoors.

Start the island tour with Skansen Open Air Museum, a vast park featuring 150 farmsteads and houses, most dating from the 18th and 19th centuries, that were brought from all over Sweden and reassembled here to show how Swedes lived and worked in centuries past.

Another island museum, Vasa (open daily, 10 a.m. to 5 p.m.), is a reminder of the country's seafaring past. Highlight: a well-preserved warship that sank on its maiden voyage in 1628 and was recovered in the 1960s. The richly decorated ship carried almost 700 sculptures and other ornaments, most of which are also on display.

After all the island hopping you may want to be on terra firma again. Walk along Drottninggatan, a pedestrian street in the center of town that is an eclectic mix of antique shops, trendy cafés and specialty boutiques. The street also offers a glimpse of Stockholm's lighter side: an 800-m-long stretch of citations from playwright August Strindberg embedded in the pavement, including such classics as "Love me forever or I'll bite your throat until you die."