In 1793, Bjarni Sívertsen settled here and became influential in local business and international trade, setting up a major commercial fishing operation. His enterprise and initiative signalled the start of impressive commerce in the town. Ever since, he has been called "the father of Hafnarfjörður" and nicknamed "Sir Bjarni". His house in Vesturgata street, built in 1803, was transformed into a museum ("Sívertsenshús"). Around 1870, dramatic changes took place in Icelandic fishing. Residents followed the growing trend in Iceland of using decked boats rather than row-boats. This led to even more employment and rapid growth, and Hafnarfjörður was the fifth town in Iceland to attain official municipal status in 1908. The first mayor was Páll Einarsson, who later became the mayor of Reykjavík. The first road between Reykjavík and Hafnarfjörður was finished in 1898. The first hydrological power plant in Iceland was built in Hafnarfjörður in 1904.