Yes Icelandics do, as do Swedish Flower Hens for instance which are both Landrace breeds. They have been bred for body type, size, foraging abilities, cold/heat tolerance, and laying capabilities. But color and pattern has not been selectively bred for. Similar to the way some American breeds...
"local" breeds are typically mixes . . . sort of. They are a landrace meaning the are a local breed that has developed over time specific to a country or even area with in a country.