I guess it was only a matter of time before Lexus joined the manufacturers who’s mission it is to dethrone the BMW 3 series cars as the premier near luxury line of sport sedans. Lexus has signed up the new IS300 to do the fighting, and on paper at least, comes in with equal or better credentials than the 3 series cars, especially for the price. Lexus may have shaken the stigma of being dressed up Toyotas, but takes a huge step entering the market where real performance talks, and pretenders walk. Sure the SC400 coupe is no pretender, but is excluded from this relatively affordable, and popular market segment. The SC400 is expected to perform considering the price, but the trick is to create a true performance car, which fits more than two people (not necessarily comfortably), and pack it with luxury touches while keeping the price within reach of the middle class.

The second mission for the IS300 is to appeal to the under 40 crowd, where as traditional Lexus buyers tend to be older.

Just like an underdog against the reigning champ in a title bout, being equal usually isn’t enough to sway the judges in you favor. You need to trounce the competition, and show more pizzazz. But unlike most prizefighters, the BMW 3 series, regarded as the IS300’s main competition, seems to get better with age. So to say the new Lexus has a daunting task is an understatement. With the introduction of the IS300, Lexus has however hit the target on some things (200 plus horsepower V6, good handling), but missed on others (no manual transmission, conservative, non-descriptive exterior styling).

The 2001 IS300 is an all new model from Lexus, and is available only as a rear wheel drive 4-door sedan. Standard power comes from the 3.0 liter, 215 horsepower in-line 6, which is basically the same engine found in the more expensive GS300. The only transmission available is a 5-speed automatic, which can be “shifted” using steering wheel mounted buttons, but still does not suffice in place of a true manual transmission.

Starting at a base price of $30,500, the IS300 come with a good amount of standard equipment.

Besides the 215hp engine and 5-speed automatic transmission, standard equipment includes traction control, front and rear independent sport suspension, 4-wheel disc brakes with ABS, stainless steel exhaust, fog lights, power windows, locks, trunk, fuel cap, and mirrors, 205/45ZR17 tires mounted on silver alloy wheels, climate control, premium stereo with 6-disc CD changer, cruise control, first aid kit, full instrumentation, and a bunch of lights, bells and whistles. With all of this good stuff already include, options are few, but include two different leather packages which range in price from $1,700-$1,800 and include a Homelink system, and power seats, with the more expensive package containing wood switchplates, power moonroof ($1,000), polished graphite alloy 17-inch wheels ($400), heated front seats ($440), limited slip differential ($390), carpeted cargo mat ($66), and the popular (infamous) Lexus Gold Package ($417).

Serious competition awaits the IS300, which includes the BMW 318i 323i/328i, and the Audi A4. Making things even tougher is that these two competitors, depending on the model, offer optional engines choices, body styles, and even all wheel drive systems, of which the Lexus does not.

Is one car, one choice, going to cut the mustard (or shred the pavement)? We will find out.

I drove a 2001 Lexus IS300. Price as tested was $34,550, which included the optional leather package, power moon roof, limited slip differential, cargo mat, and polished alloy graphite wheels, and a $495 destination charge. Not only was this an as tested price, it is also an “as paid” price. Don’t expect to wheel and deal right now.

The overall styling of the IS300 is somewhat conservative. I had a very funny experience (to me anyway) while parking the IS300 in a crowded lot. A man walked by the rear of the car with his teen-aged son and I heard him say, “No, that’s not the Focus.” Ouch! I laughed, and don’t think the rear looks like a Ford Focus, for the most part, anyway. However the point remains; the IS300 doesn’t stand out as remarkably different. Lots of people walked by, but nobody really stared, or asked about the car. Not one. My own first thought was that it looked like a shortened ES300. Sure the lines are smooth, and the fit and finish were top notch, but void of distinct creases and curves. Would you recognize it as something to be reckoned with as it checks up on your rear bumper? It’s a toss up. I like the aggressive front end, with its sleek headlights, and fog lamps book-ending a large air intake. But the rest of the car loses the aggressive flavor, except for the wheels. That’s not to say the IS300 isn’t better looking than MANY cars on the road. Ending up in a crowded lot with no gawkers, I took it upon myself to ask passers by what they thought of the car. Most said it was “sharp” or “OK”. There were exceptions. One woman said, “It looks like a Lexus, but I don’t know which one.” A friend of mine, who knew nothing about this new Lexus, thought it was their “entry level” car. When I told him it cost over $34,000, he screamed, "No way!" Coming from someone who drives a 15-year old Honda Accord, I disagree. The IS300 might not be muscular, but it has an air of elegance and quality which leaves no doubt that it is a Lexus, and I think the overall “expensiveness” of the exterior is in line for the asking price.

The jury might still be out on the exterior, but inside is where the IS300 really shines. I was concerned about how I would fit in the IS300, a car similar in exterior dimensions to its competition, in which legroom was a problem for me in those cars. No such problem in the IS300. I am almost 6’2” and easily found a comfortable driving position, with plenty of front legroom, while nestled into one the most comfortable and supportive leather seats on the market. They are firm yet supple, and supported me in all the right places. I have a pretty relaxed driving position, so headroom wasn’t a problem. However, I could not fit into the back seat comfortably with the front seat adjusted to my driving position. Adjusting the seat so I would fit into the back meant my legroom up front was compromised quite a bit.

The overall look of the cabin is top notch. You won’t hear anyone say the interior isn’t expensive looking enough. With nice leather appointments, touches of chrome, and high quality material, fit and finish, the interior is well done.

There are of course lots of the basic luxury doo-dads, and buttons to play with. All of the controls were in easy reach, though I did have to take my eyes off the road a bit too long in order to adjust the stereo. One controversial item is the busy chronograph instrument pod. Some drivers might like the bold performance statement it makes, and others might just find it confusing. Call me a purist, but give me some easy to read analog gauges, and make them in a racy font. This pod, in addition to the drilled aluminum pedals, lets you know this isn’t your Dad’s Lexus.

The trunk is probably one of the smallest in its class, and couple this with the tight rear seat room, might just be argument enough for someone looking for a family hauler as the first requirement, to chose the ES300 in spite of the IS300’s performance advantage.

Overall the very comfortable interior is what you would expect in a $30,000 plus car, and from a Lexus.

Fire up the smooth six, and the engine is just a whisper from inside the cabin. Put the tranny in drive, mash the go pedal, and the six springs to life, accelerating quickly, while making a very nice growling sound, somewhat out of the ordinary for Lexus. After seeing the latest IS300 TV commercial showing the chronograph looking speedometer hovering around 100mph, and hearing the very distinct sound of someone manually shifting, I was disappointed to find that a 5 or 6 speed car will not be available this year. I have never been a big fan of “manumatics” and I was even more disappointed after I actually drove the IS300, as I felt I could definitely squeeze a bit more power out of the engine with a 5-speed. However, the IS300 just might be the smoothest, and quickest, non 5-speed car in its class.

Mash the brakes, and the IS300 feels controlled, and stops quickly, without much to think about.

Toss the IS300 into a turn, and it responds exceptionally well, feeling balanced, with minimal roll. It’s easy to drive fast, check that, very fast. Steering feedback is very good, and the sport suspension is firm, yet comfortable, making the IS300 a pleasure to drive at any speed, and on any road surface. As expected from a Lexus, there are no rattles or creaks, just a high quality ride. Overall it’s a pretty similar driving experience compared to the 3-series cars.

Notice I said “pretty similar”. But here’s the big problem. The 3 series BMWs are just that damned good. Driving a BMW, you get an incredible sense, or feel for the road, due to its exceptionally responsive steering. Its suspension is firm, forgiving, and compliant all at the same time, giving the driver the feeling as if they can do anything with the car. Speaking strictly performance, the IS300 is Audi good, not quite BMW good, but close.

Overall the performance is impressive in every category, adding one to one really cool ride, and I just can’t get over the asking price!

Any misconceptions about Lexus being able to deliver only near luxury sedans for under $40k went out the window with the introduction of the IS300. Overall, is it more car than the BMW 535i or the Audi A4? Arguably, no. Is it a better value? Arguably, yes. Lets just say the IS300 does almost everything very well, wrapped in decent sheetmetal, with a price that makes it a relative bargain. Except for back seat room, and the lack of a manual transmission, nothing disappoints. Everything from smoothness to build quality is top notch, and perceived Lexus quality is a bonus not to be taken likely. But what about the BMW 328? Wow, nothing like being put on the spot, but once again, its hard to not love the price, which is nearly $5,000 less than a comparably equipped 328.

But what can’t be underestimated either is the BMW mystique. Do you work hard for years, establish yourself as a person who deserves the best, then buy a car who want’s people to think it’s as good as a BMW? Or do you just buy a BMW? Enough said.