Lambhus was an outlying farm from the estate Bessastadir on the Alftanes peninsula. The first official observations in this country of the celestial sky were carried out there.

In the year 1772 Eyjolfur Johnsonius was constituted astronomer but did not accomplish much, because he died in 1775. Then the Norwegian student Rasmus Lievog took over in 1780. He researched the magnetic deviation, the tides and drew geodetic maps of the surrounding area, the capital area as well. The observatory was abandoned when he moved away in 1805.