diff --git a/scripts/gulp/tasks/bundle/rollup-config.ts b/scripts/gulp/tasks/bundle/rollup-config.ts
index c5f0c9c6fe..ece333a16a 100644
--- a/scripts/gulp/tasks/bundle/rollup-config.ts
+++ b/scripts/gulp/tasks/bundle/rollup-config.ts
@@ -24,6 +24,7 @@ const ROLLUP_GLOBALS = {
   '@angular/cdk/scrolling': 'ng.cdk.scrolling',
   '@angular/cdk/table': 'ng.cdk.table',
   '@angular/cdk/bidi': 'ng.cdk.bidi',
+  '@angular/cdk/keycodes': 'ng.cdk.keycodes',
 
 
   // RxJS dependencies
diff --git a/src/framework/theme/components/cdk/a11y/focus-key-manager.ts b/src/framework/theme/components/cdk/a11y/focus-key-manager.ts
new file mode 100644
index 0000000000..aca69266c6
--- /dev/null
+++ b/src/framework/theme/components/cdk/a11y/focus-key-manager.ts
@@ -0,0 +1,4 @@
+import { FocusableOption, FocusKeyManager } from '@angular/cdk/a11y';
+
+export type NbFocusableOption = FocusableOption;
+export class NbFocusKeyManager<T> extends FocusKeyManager<T> {}
diff --git a/src/framework/theme/components/cdk/index.ts b/src/framework/theme/components/cdk/index.ts
index 3eebe8a106..136836dd58 100644
--- a/src/framework/theme/components/cdk/index.ts
+++ b/src/framework/theme/components/cdk/index.ts
@@ -1,6 +1,8 @@
 export * from './overlay';
+export * from './a11y/focus-key-manager';
 export * from './a11y/a11y.module';
 export * from './a11y/focus-trap';
 export * from './adapter/overlay-container-adapter';
 export * from './adapter/scroll-dispatcher-adapter';
 export * from './adapter/viewport-ruler-adapter';
+export * from './keycodes/keycodes';
diff --git a/src/framework/theme/components/cdk/keycodes/keycodes.ts b/src/framework/theme/components/cdk/keycodes/keycodes.ts
new file mode 100644
index 0000000000..5b8691c3ee
--- /dev/null
+++ b/src/framework/theme/components/cdk/keycodes/keycodes.ts
@@ -0,0 +1 @@
+export * from '@angular/cdk/keycodes';
diff --git a/src/framework/theme/components/select/option.component.scss b/src/framework/theme/components/select/option.component.scss
index ceb15b9fe8..5968f0e011 100644
--- a/src/framework/theme/components/select/option.component.scss
+++ b/src/framework/theme/components/select/option.component.scss
@@ -7,7 +7,7 @@
 @import '../../styles/core/mixins';
 
 :host {
-  display: block;
+  display: flex;
   @include nb-component-animation(background-color, color);
 
   &:hover {
@@ -15,7 +15,12 @@
   }
 
   nb-checkbox {
+    display: flex;
     pointer-events: none;
+
+    ::ng-deep .label {
+      padding: 0;
+    }
   }
 }
 
diff --git a/src/framework/theme/components/select/option.component.ts b/src/framework/theme/components/select/option.component.ts
index c318fd8428..7bf2bc4180 100644
--- a/src/framework/theme/components/select/option.component.ts
+++ b/src/framework/theme/components/select/option.component.ts
@@ -19,7 +19,9 @@ import {
   Output,
 } from '@angular/core';
 import { Observable, Subject } from 'rxjs';
+
 import { convertToBoolProperty } from '../helpers';
+import { NbFocusableOption } from '../cdk';
 import { NbSelectComponent } from './select.component';
 
 
@@ -28,20 +30,15 @@ import { NbSelectComponent } from './select.component';
   styleUrls: ['./option.component.scss'],
   changeDetection: ChangeDetectionStrategy.OnPush,
   template: `
-    <nb-checkbox *ngIf="withCheckbox" [(ngModel)]="selected">
-      <ng-container *ngTemplateOutlet="content"></ng-container>
+    <nb-checkbox *ngIf="withCheckbox"
+                 [value]="selected"
+                 [disabled]="disabledAttribute"
+                 aria-hidden="true">
     </nb-checkbox>
-
-    <ng-container *ngIf="!withCheckbox">
-      <ng-container *ngTemplateOutlet="content"></ng-container>
-    </ng-container>
-
-    <ng-template #content>
-      <ng-content></ng-content>
-    </ng-template>
+    <ng-content></ng-content>
   `,
 })
-export class NbOptionComponent<T> implements OnDestroy {
+export class NbOptionComponent<T> implements OnDestroy, NbFocusableOption {
 
   protected disabledByGroup = false;
 
@@ -110,9 +107,19 @@ export class NbOptionComponent<T> implements OnDestroy {
     return disabled ? '' : null;
   }
 
-  @HostListener('click')
-  onClick() {
+  @HostBinding('tabIndex')
+  get tabindex() {
+    return '-1';
+  }
+
+  @HostListener('click', ['$event'])
+  @HostListener('keydown.space', ['$event'])
+  @HostListener('keydown.enter', ['$event'])
+  onClick(event: Event) {
     this.click$.next(this);
+
+    // Prevent scroll on space click, etc.
+    event.preventDefault();
   }
 
   select() {
@@ -147,4 +154,12 @@ export class NbOptionComponent<T> implements OnDestroy {
       this.cd.markForCheck();
     }
   }
+
+  focus(): void {
+    this.elementRef.nativeElement.focus();
+  }
+
+  getLabel(): string {
+    return this.content;
+  }
 }
diff --git a/src/framework/theme/components/select/select.component.html b/src/framework/theme/components/select/select.component.html
index 3c2472d60b..4c59dff3d5 100644
--- a/src/framework/theme/components/select/select.component.html
+++ b/src/framework/theme/components/select/select.component.html
@@ -1,6 +1,8 @@
 <button [disabled]="disabled"
         [ngClass]="selectButtonClasses"
         (blur)="trySetTouched()"
+        (keydown.arrowDown)="show()"
+        (keydown.arrowUp)="show()"
         class="select-button"
         type="button"
         #selectButton>
diff --git a/src/framework/theme/components/select/select.component.ts b/src/framework/theme/components/select/select.component.ts
index 56712334e9..a3d9185a18 100644
--- a/src/framework/theme/components/select/select.component.ts
+++ b/src/framework/theme/components/select/select.component.ts
@@ -20,14 +20,13 @@ import {
   Inject,
   Input,
   OnDestroy,
-  OnInit,
   Output,
   QueryList,
   ViewChild,
 } from '@angular/core';
 import { ControlValueAccessor, NG_VALUE_ACCESSOR } from '@angular/forms';
 import { merge, Observable, Subject } from 'rxjs';
-import { startWith, switchMap, takeWhile } from 'rxjs/operators';
+import { startWith, switchMap, takeWhile, filter } from 'rxjs/operators';
 
 import {
   NbAdjustableConnectedPositionStrategy,
@@ -45,8 +44,9 @@ import {
 import { NbComponentSize } from '../component-size';
 import { NbComponentShape } from '../component-shape';
 import { NbComponentStatus } from '../component-status';
-import { NbOptionComponent } from './option.component';
 import { NB_DOCUMENT } from '../../theme.options';
+import { NbFocusKeyManager, ESCAPE } from '../cdk';
+import { NbOptionComponent } from './option.component';
 import { convertToBoolProperty } from '../helpers';
 
 export type NbSelectAppearance = 'outline' | 'filled' | 'hero';
@@ -386,7 +386,8 @@ export class NbSelectLabelComponent {
     },
   ],
 })
-export class NbSelectComponent<T> implements OnInit, AfterViewInit, AfterContentInit, OnDestroy, ControlValueAccessor {
+export class NbSelectComponent<T> implements AfterViewInit, AfterContentInit, OnDestroy, ControlValueAccessor {
+
   /**
    * Select size, available sizes:
    * `tiny`, `small`, `medium` (default), `large`, `giant`
@@ -565,6 +566,8 @@ export class NbSelectComponent<T> implements OnInit, AfterViewInit, AfterContent
 
   protected alive: boolean = true;
 
+  protected keyManager: NbFocusKeyManager<NbOptionComponent<T>>;
+
   /**
    * If a user assigns value before content nb-options's rendered the value will be putted in this variable.
    * And then applied after content rendered.
@@ -634,10 +637,6 @@ export class NbSelectComponent<T> implements OnInit, AfterViewInit, AfterContent
     return this.selectionModel[0].content;
   }
 
-  ngOnInit() {
-    this.createOverlay();
-  }
-
   ngAfterContentInit() {
     if (this.queue) {
       // Call 'writeValue' when current change detection run is finished.
@@ -655,7 +654,6 @@ export class NbSelectComponent<T> implements OnInit, AfterViewInit, AfterContent
     this.triggerStrategy = this.createTriggerStrategy();
 
     this.subscribeOnTriggers();
-    this.subscribeOnPositionChange();
     this.subscribeOnOptionClick();
   }
 
@@ -672,7 +670,8 @@ export class NbSelectComponent<T> implements OnInit, AfterViewInit, AfterContent
 
   show() {
     if (this.isHidden) {
-      this.ref.attach(this.portal);
+      this.attachToOverlay();
+      this.setActiveOption();
       this.cd.markForCheck();
     }
   }
@@ -777,12 +776,35 @@ export class NbSelectComponent<T> implements OnInit, AfterViewInit, AfterContent
     this.emitSelected(this.selectionModel.map((opt: NbOptionComponent<T>) => opt.value));
   }
 
+  protected attachToOverlay() {
+    if (!this.ref) {
+      this.createOverlay();
+      this.subscribeOnPositionChange();
+      this.createKeyManager();
+      this.subscribeOnOverlayKeys();
+    }
+
+    this.ref.attach(this.portal);
+  }
+
+  protected setActiveOption() {
+    if (this.selectionModel.length) {
+      this.keyManager.setActiveItem(this.selectionModel[ 0 ]);
+    } else {
+      this.keyManager.setFirstItemActive();
+    }
+  }
+
   protected createOverlay() {
     const scrollStrategy = this.createScrollStrategy();
     this.positionStrategy = this.createPositionStrategy();
     this.ref = this.overlay.create({ positionStrategy: this.positionStrategy, scrollStrategy });
   }
 
+  protected createKeyManager(): void {
+    this.keyManager = new NbFocusKeyManager<NbOptionComponent<T>>(this.options).withTypeAhead(200);
+  }
+
   protected createPositionStrategy(): NbAdjustableConnectedPositionStrategy {
     return this.positionBuilder
       .connectedTo(this.hostRef)
@@ -842,6 +864,26 @@ export class NbSelectComponent<T> implements OnInit, AfterViewInit, AfterContent
       });
   }
 
+  protected subscribeOnOverlayKeys(): void {
+    this.ref.keydownEvents()
+      .pipe(
+        takeWhile(() => this.alive),
+        filter(() => this.isOpen),
+      )
+      .subscribe((event: KeyboardEvent) => {
+        if (event.keyCode === ESCAPE) {
+          this.button.nativeElement.focus();
+          this.hide();
+        } else {
+          this.keyManager.onKeydown(event);
+        }
+      });
+
+    this.keyManager.tabOut
+      .pipe(takeWhile(() => this.alive))
+      .subscribe(() => this.hide());
+  }
+
   protected getContainer() {
     return this.ref && this.ref.hasAttached() && <ComponentRef<any>> {
       location: {
diff --git a/src/framework/theme/components/select/select.spec.ts b/src/framework/theme/components/select/select.spec.ts
index 123bb8a13c..1deae17b12 100644
--- a/src/framework/theme/components/select/select.spec.ts
+++ b/src/framework/theme/components/select/select.spec.ts
@@ -21,6 +21,7 @@ import { NbLayoutModule } from '../layout/layout.module';
 import { NbOptionComponent } from './option.component';
 import { NbOptionGroupComponent } from './option-group.component';
 
+const eventMock = { preventDefault() {} } as Event;
 
 const TEST_GROUPS = [
   {
@@ -582,7 +583,7 @@ describe('NbSelectComponent - falsy values', () => {
     select.selected = testComponent.truthyOption.value;
     fixture.detectChanges();
 
-    testComponent.noValueOption.onClick();
+    testComponent.noValueOption.onClick(eventMock);
     fixture.detectChanges();
 
     expect(select.selectionModel.length).toEqual(0);
@@ -592,7 +593,7 @@ describe('NbSelectComponent - falsy values', () => {
     select.selected = testComponent.truthyOption.value;
     fixture.detectChanges();
 
-    testComponent.nullOption.onClick();
+    testComponent.nullOption.onClick(eventMock);
     fixture.detectChanges();
 
     expect(select.selectionModel.length).toEqual(0);
@@ -602,7 +603,7 @@ describe('NbSelectComponent - falsy values', () => {
     select.selected = testComponent.truthyOption.value;
     fixture.detectChanges();
 
-    testComponent.undefinedOption.onClick();
+    testComponent.undefinedOption.onClick(eventMock);
     fixture.detectChanges();
 
     expect(select.selectionModel.length).toEqual(0);
@@ -612,7 +613,7 @@ describe('NbSelectComponent - falsy values', () => {
     select.selected = testComponent.truthyOption.value;
     fixture.detectChanges();
 
-    testComponent.falseOption.onClick();
+    testComponent.falseOption.onClick(eventMock);
     fixture.detectChanges();
 
     expect(select.selectionModel.length).toEqual(1);
@@ -622,7 +623,7 @@ describe('NbSelectComponent - falsy values', () => {
     select.selected = testComponent.truthyOption.value;
     fixture.detectChanges();
 
-    testComponent.zeroOption.onClick();
+    testComponent.zeroOption.onClick(eventMock);
     fixture.detectChanges();
 
     expect(select.selectionModel.length).toEqual(1);
@@ -632,7 +633,7 @@ describe('NbSelectComponent - falsy values', () => {
     select.selected = testComponent.truthyOption.value;
     fixture.detectChanges();
 
-    testComponent.emptyStringOption.onClick();
+    testComponent.emptyStringOption.onClick(eventMock);
     fixture.detectChanges();
 
     expect(select.selectionModel.length).toEqual(1);
@@ -642,7 +643,7 @@ describe('NbSelectComponent - falsy values', () => {
     select.selected = testComponent.truthyOption.value;
     fixture.detectChanges();
 
-    testComponent.nanOption.onClick();
+    testComponent.nanOption.onClick(eventMock);
     fixture.detectChanges();
 
     expect(select.selectionModel.length).toEqual(1);