What's the difference?
In 15 years as a car reviewer there have been plenty of super luxurious cars and there has been plenty of people moving. But not many super luxurious people movers. Until now. Until the Lexus LM 500h.
This people mover costs a quarter of a million dollars. And if that caught your attention you probably also want to know what that buys you. My family and I found out when we lived with the LM 500h Ultra Luxury for a week.
It is highly unusual to drive around in a bed, but that’s what it felt like we were being asked to do with the new and terribly exciting Tesla Model 3 Performance.
Tesla doesn’t do media launches, nor traditional marketing, so everything about this event was predictably peculiar, but when we were told this new car was causing so much excitement that we should pull a sheet over it every time we stopped, to avoid people photographing it, or touching it (“if someone tries, just politely ask them to stop” as we were advised) we hit peak weirdness.
Eventually, they did agree to pull the sheet off one and let us have a look at the most exciting car Tesla has ever made that’s not a Cybertruck.
The Performance is the Model 3 Tesla engineers and designers always wanted to make. Clearly, it was going to be called the 'Ludicrous', because some staff kept stuffing up and calling it that. It’s a shame the name wasn’t used, but at least it still gets an 'Insane' mode.
They really wanted to go all out with the original Performance version, but “a guy called Elon” didn’t want to add all the complexity that required at the time - he was focused on quality issues and ramping up production - but this go around he has let them have their heads, and encouraged them to go hog wild.
That means an entirely new power unit at the rear, staggered 20-inch wheels for sportier turn-in, aerodynamic changes for more downforce and less lift, new seats and the fitting of active dampers to a Model 3 for the first time, to help provide proper, track-ready handling.
We set out into the embrace of the adoring Los Angeles public (truly, no city on Earth boasts so many Tesla owners, they are everywhere) to find out if all the fuss is worth it.
The Lexus LM 500h is luxurious, comfortable, practical, easy to drive and expensive. While it may appear to be the ultimate family car, with only four seats it's limited in terms of how many kids and their friends you can carry. On top of that, the privacy screen introduces accessibility issues to the kids you wouldn't encounter on other vehicles. If you are thinking of a Lexus people mover as your next family car I'd suggest looking at the LM 350h which has seven seats and no privacy screen. If you’re looking at a business class executive van the LM 500h would be perfect.
The Model 3 Performance is one of those cars that’s undeniably impressive in almost every way, and hugely fast in absolutely every way, and yet can somehow still leave you feeling slightly cold. Or at least damp with fear sweat.
It’s not my kind of sports car, but if you love speed, and EVs, and Tesla, you’re gong to think it’s the Queen Bee’s knees.
Publishers: Please place the following in BOLD after the verdict:
Note: CarsGuide attended this event as a guest of the manufacturer, with travel, accommodation and meals provided.
The LM 500h doesn't look real. More like a concept vehicle with its vertical face wearing that enormous grille. Feels like if you watched it for long enough you’d catch it transforming into some kind of robot. Yet, at the same time its styling is elegant and prestigious.
I have a confession to make. I used this Lexus as my office. Its interior is that comfortable and spacious. I'm also a parent and there were times where it was the quietest place to get some work done.
It also let me observe people's reactions as they walked past with their dogs not knowing what was going on inside behind those tinted windows. The people that noticed were clearly car enthusiasts as they knew what they were looking at and couldn't pass without gaping it awe.
The LM 500h’s interior is superbly plush with thick carpets, beautiful copper metallic trim and nappa leather seats.
As I’ve said, the cockpit up front is less luxurious than the extravagant first class section in the back behind that dividing wall.
And yes, I’ve seen large screens before but nothing that stretches the width of the vehicle.
Tesla’s design folks waxed long and loud about how they’d finally been able to visually lift and separate this Performance Model 3 from the basic one and they point to the new front and rear fascias, more aggressive styling, aerodynamic flicks, integrated cooling ducts, rear diffuser and carbon-fibre spoiler, which are there not only to look good, but to to “optimise lift balance and high-speed stability”.
Now, I’ll grant you it’s better than a normal Model 3, and that we were regularly approached by excited Tesla fans asking “is this the NEW PERFORMANCE OH MY GOD I WANT ONE NOW?!?"
But honestly, I still think it’s a bit subtle, and that includes the strange little 'Performance' sticker/badge on the rear, which does look a lot like the Ludicrous symbol that Elon loves, from the awful movie Spaceballs, but Tesla staff insist it’s not, nor is it Plaid.
Clearly, the design tweaks are there for a reason, and train spotters will note the differences immediately, but it’s still just not the most exciting car to look at, nor is it anywhere near as exciting to behold as it is to drive.
You might be able to take Lexus out of Toyota but it's very hard to take Toyota out of Lexus and this particularly applies to the practicality of the LM 500h.
Every day I discovered new compartments, tray tables and storage areas. There are so many cabinets, lockers and hidey holes that we almost left my belongings (an entire family of plushie toy capybaras) behind because there are so many places to check.
Of course, I'm talking about the rear compartment here because up front there's not much storage. In fact, it proved to be quite a problem in that I had nowhere to put my bag with somebody sitting next to me and no area behind the front seats to stow it, either.
Talking of seats, the LM 500h only has four of them, with two up front and two in the rear. Up front, the seats are supportive and large, but the rear seats - those are, well... have a look at the images.
We’re talking two large captain's chairs that look as though they’ve been removed from the first class section of a plane.
And while this might be suitable for businesses shuttling a couple of executives to and from meetings, for a family, even with two children, the extra couple of seats a third row offers would come in handy.
The LM 350h has seven seats over three rows and no privacy screen. A far better choice for families.
For device charging there are USB ports up front and in the rear. There are wireless phone chargers for those in the back seats but not up front.
The LM 500h has a cargo capacity of 752 litres with all seats in place.
Inside, the big news is the new seats. Tesla was happy to admit the pews fitted to the previous Performance just weren’t up to the job of holding humans in place when applying so much G force.
The new 'Sport Seats' feature enhanced side cushioning and side bolsters for better lateral support during dynamic driving. And they can also be heated and ventilated.
Elsewhere, there’s some carbon-fibre trim on top of the dash, with a Tesla-first weave pattern to further help the Performance stand out within the Model 3 line-up.
Other than that, it’s pretty standard Tesla sedan, which will be familiar if you’ve ever caught an Uber in Los Angeles. Spartan, minimalist, slightly cheap-feeling.
As for the practicality of the tech, I'm still against the giant 15-inch tablet-style touchscreen, for everything, the replacement of an indicator stalk with buttons and not having a speedo right in front of your eyes, where you need it.
The Lexus LM 500h sits at the top of its range and is without a doubt one of the most expensive people movers on Earth with its list price of $220,888.
As you would imagine the standard features list is as extensive as it is extravagant.
For starters, while the regular LM 350h has two rows of seating in the rear (seven seats all up, including the front two), the 500h has the third row removed and just two super luxurious and enormous fully reclining seats fill the entire space. It’s like a theatre back there.
That theatre theme keeps going with a media screen in the back so large it stretches the width of the vehicle. Seriously, it's a 48-inch screen to watch movies or connect to your device.
The sound system is probably the best I’ve experienced - a spine tinglingly incredible 23-speaker Mark Levinson set-up.
What else can I tell you? Those rear seats are upholstered in beautifully soft semi-aniline leather. They’re heated and ventilated with a massaging function and... ridiculously comfortable.
There’s four-zone climate control, windows which have an electronic shade that turns the glass opaque, there are wireless phone chargers in the doors and carpet throughout so thick you sink down into it as you step inside.
Our LM 500h was upholstered in the 'Solis White' leather which also brings contrasting and mesmerising copper metallic trim.
Oh, and there’s a wall with an electric glass screen that can be raised or lowered to separate the rear passengers from the driver.
I should have mentioned this earlier. The kids loved it, but these parents spent a lot of time telling the 10- and three-year old not to put the screen up again.
The rear occupants, aka the kids, can also lock the screen in place. Which they did, and so sound proof is the dividing wall that we can only just hear their uproarious laughter.
Up front, the cockpit is comfortable but it’s clear all the space and luxury is for those being driven around.
Still, the front seats are leather with heating and ventilation, there’s a 14-inch media screen and 12.4-inch digital instrument cluster, plus a head-up display. Sat nav, Apple CarPlay and Android Auto are also standard.
Tesla says the price for the Model 3 Performance will be "starting at" $80,900, plus on-road costs. There's no word on whether there will be different spec levels and the company does not like answering questions or providing information.
What we also know about Tesla is that the price quoted could move down, or up, at any time, quite randomly, so if phrases like "residual value" or "depreciation" are of interest to you, it can be a challenging brand.
That side swipe aside, this sounds like astonishingly good value for this much performance from your Model 3 Performance. A Hyundai Ioniq 5 N would give it run for fun and involvement, if not brand fans, but it's $111,000, while a Porsche Taycan kicks off at $164,000 (it is a lot more car for the money, but it might struggle to keep up with this Tesla, at least in base model form).
In terms of equipment, it's pretty much standard Model 3 fare, other than the fast bits and a spot of carbon here and there.
You get 'Autopilot' included, of course, but you can't use all of its 'Full Self Driving functionality' on Australian roads. Not yet, anyway.
The LM 500h is a petrol-electric hybrid with a 2.4-litre four-cylinder turbo-petrol engine which makes 202kW/460Nm and works in concert with two electric motors.
The front motor makes 64kW/292Nm and the rear makes 76kW/169Nm. The combined maximum power output of the two motors and the petrol engine is 273kW.
The LM 500h is all wheel-drive and has a six-speed automatic transmission.
If you’ve ever driven the previous Model 3 Performance you’ll know that it could well have come with Space X badging (arguably Elon’s more impressive engineering achievement), because it really did thrust rather than accelerate.
But this time the engineers wanted to go all out. Customers appreciated the incremental performance they got from the last Model 3 Performance version, but they told Tesla they wanted more.
With many enthusiasts among Tesla's engineering and development team, they looked to unlock the performance potential of the platform.
So, that meant a whole lot more madness and torque thump. It comes from a new Performance 4DU, an all-new drive unit - featuring an entirely new rear motor that uses bar-winding technology - unlocking 22 per cent more continuous power, 32 per cent more peak power and 16 per cent higher peak torque delivery.
Overall figures are 380kW and 740Nm, but looking at them written down, they seem big, yet not as big as they feel in this car, as it’s shoving you from a standing start to 100km/h in three seconds flat.
It feels faster. Sick-making fast, even.
Lexus says after a combination of urban and open roads the LM 500h should use 6.6L/100km. In our own testing we found consumption was higher at 9.4L/100km.
Worth noting my driving environment was mainly a hilly suburban one filled with school drop offs. Achieved some personal bests this week, with one long run to Sydney’s outskirts, only to return in nightmarish peak hour traffic.
Premium (95 RON) fuel is required and the tank size is 60 litres. In theory the driving range is a smidge more than 900km, which drops to around 640km using our real-world average.
Despite being heavier and gruntier, Tesla claims the new Performance Model 3 manages to be more efficient than the one it replaces, albeit delivering just a two per cent reduction in energy consumption. Claimed energy usage is 16.7 kWh/100km.
Tesla claims a total range of 528km on the WLTP, which is obviously going to drop if you drive it the way its makers clearly intended.
Using a Tesla Supercharger, you can add 228km in 15 minutes and... that's all Tesla will tell us. There are no official figures available for how long a full charge takes, on either a Tesla charge or a home wallbox of your own.
Quite simply, driving the LM 500h is like piloting a limousine on stilts. Superbly comfortable, but with an elevated driving position that offers outstanding forward and side visibility, the LM 500h is an easy vehicle to drive for long periods of time.
A digital rear vision mirror means visibility behind is good and unobstructed by the privacy screen or the seats.
The drawbacks are down to the lack of space up front, with the driver’s chair limited in its ability to recline or slide back due to the bulkhead behind it.
And that's compounded by the lack of cabin storage for bags if the front passenger seat is taken.
As for the rear passengers there aren't many people movers offering this level of comfort, except perhaps the Zeekr 009.
Variable suspension that adjusts continuously keeps the vehicle composed and provides a high level of comfort for those in the rear. At the same time, the LM stays nice and flat through roundabouts while remaining civilised over speed bumps.
And then there's the acceleration, which, while not supercar-like is incredibly brisk for a van. The all-wheel drive system provides outstanding traction in wet and slippery conditions, too.
Our family used the LM daily for everything from school runs to shopping trips and weekends away and not only was it fun to drive, our lucky rear passengers enjoyed sitting high and being able to see clearly out their windows along with the luxury of a giant movie screen.
Very occasionally, one drives a car that makes the human body feel inadequate to the task. I would have worried that I’m getting old, that my body is simply too flubby and my brain too broken, to cope with the kind of wild acceleration and brutal g-forces the Model 3 Performance delivers.
But, fortunately, I had a videographer in the passenger seat, a much younger man who loves fast cars, and he kept threatening to vomit when I drove it hard, too.
I’ve driven quite a few cars that you can use make your passenger sick, or hurt their necks - one obvious competitor in the shape of a Porsche Taycan Turbo S comes to mind - but it’s very rare that a vehicle is so intense it can make you, the driver, feel bilious.
Yes, you do bring this on yourself, by choosing to push this Performance anywhere near its limits through particularly sharp and intestine-shaped roads like the canyons outside Malibu Tesla chose to launch it on.
On longer, sweeping bends it was far more of a joy, and less physically punishing, but in the tight stuff it often felt like corners were being thrown at you, as if you were driving behind the Millennium Falcon and being pulled along in its wake.
The brakes, special new sporting ones with track-ready pads, were up to the task, even though it often felt like they couldn’t possibly pull you up from the speeds you were doing.
And yes, it was entirely my fault that the very first time I even gently prodded the throttle and it launched me ahead past a California Highway Patrol officer, that was my fault too. Three minutes into the drive, holding an American fine, I had already deduced that perhaps this car was too fast for my own good.
But lots of EVs are fast in a straight line, you’re really comparing the length and depth of your “oooophhh” sounds at this point, but where this one succeeds is by being a lot better in the handling and ride and cornering departments than most.
Tesla’s stated goal with this car was to move beyond straight-line speed, to become more than a one-trick pony, and to do that it’s given the Performance a stiffer structure overall and updated the springs and stabiliser bars.
Aerodynamic changes have reduced drag by five per cent, delivered a 36 per cent lift reduction, and a 55 per cent improvement in front-to-rear lift balance.
Tesla’s own, in-house version of adaptive dampers, not an option but included in every Performance, work with the car’s 'Vehicle Dynamics Controller' through its various modes - 'Insane' and 'Track' being the most… ludicrous - to immediately respond to driver inputs.
The Performance rides well on LA’s awful concrete freeways but feels absolutely nailed down when you attack even a bumpy driver’s road.
This version also has a lot more power going to the rear wheels, to help it feel more sports-car playful and to fire out of bends the way an enthusiast’s car should. And make no mistake, I met them, the people behind this car are serious driving enthusiasts (although they demur, slightly, on whether their boss is one).
Track mode will allow some serious adjustability, drifting ability and fun, so the kind of people who want to hurl around a racing circuit in silence will love it.
Perhaps the only let downs are that it still feels a bit austere inside, just not very special, and that the steering is just a bit digital, soft and uninvolving, compared to the cars they clearly benchmarked against - BMWs and Porsches.
The Lexus LM 500h is yet to be tested by ANCAP so it doesn't have a safety assessment score. There is, however, a high level of safety tech onboard including AEB which can detect pedestrians, cyclists, motorcyclists and other vehicles, emergency steering assist, lane keeping assistance, road sign recognition, rear cross-traffic alert, front and rear parking sensors as well as six airbags.
For child seats there are ISOFIX points and top tether anchor mounts on the two rear seats. We have a forward facing child seat and found it easy to install.
A space-saver spare wheel is located under the boot floor.
Tesla provided no information about safety for the Performance Model but it is assumed it will be unchanged from a standard Model 3.
Aside from Autopilot that means auto emergency braking, lane keep aids, and instead of blind-spot monitoring, it gets the surround radar view and blind-spot cameras when you indicate.
The latest Model 3 has an additional centre airbag for a total of seven, as well as additional bolstering where the doors meet the body in response to requirements in its American home market.
It should be able to carry its maximum five-star ANCAP safety rating, which the original version achieved in 2019.
Lexus covers the LM 500h with a five-year, unlimited kilometre warranty.
The Lexus Encore Platinum program is complimentary for LM owners for three years, providing 24-hour roadside assist, a loan vehicle or pick-up/return service at service time, 'On Demand' vehicle evaluation options, valet and airport parking benefits as well as exclusive offers and event opportunities.
Servicing is recommended annually or every 15,000 kilometres, and impressively, pricing is capped at $695 per service over five years.
Again, we've been asked to assume the Performance will come with Tesla's standard four-year/80,000km warranty and roadside assistance. And that the battery and drive unit will fall under an eight-year/192,000km warranty, whichever comes first.
Tesla says it monitors its cars to ascertain when they need servicing, and so it is based on a case-by-case situation. Every 12 months/20,000km is recommended for a general check-up, and includes tyre rotation.
Wiper blades, brake fluid and cabin air filters need replacement every two years while the air-con service is every six years.
Of course, there are no oil changes, filters or spark plugs to replace, and even brake pad wear is less than on an ICE vehicle because of the regenerative braking system. Although it will likely be higher in the Performance variant.