We drove an all-new $116,000 Lexus LS 500 to see if it can still strike fear into the hearts of Mercedes-Benz and BMW - here's the verdict

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We drove an all-new $116,000 Lexus LS 500 to see if it can still strike fear into the hearts of Mercedes-Benz and BMW - here's the verdict

Lexus LS500

Hollis Johnson/Business Insider

Business Insider's 2018 Lexus LS500 test car.

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  • The Lexus LS 500 is all-new for 2018.
  • For Lexus, the LS is its flagship sedan and a reminder of its meteoric rise to become a tier one luxury auto brand alongside Mercedes-Benz and BMW.
  • The 2018 LS 500 is powered by a 416 horsepower, 3.5-liter twin-turbocharged V6 engine.
  • According to Lexus, the LS 500 can hit 60 mph from a standstill in just 4.6 seconds and reach a top speed of 136 mph.
  • We were impressed by the new LS 500's eye-catching looks, swanky interior treatment, high-quality materials, and smooth powertrain. We were less than enamored with the Lexus Enform infotainment system and an unexpectedly harsh ride.
  • The 2018 Lexus LS 500 starts at $75,000 while our loaded all-wheel-drive test car cost $115,520.

Lexus is one of the great automotive success stories in recent automotive history. Launched in 1989, Toyota's premium marque, almost immediately turned the luxury auto market on its head.

Lexus delivered industry-leading refinement, luxury, technology, and customer service with Toyota's bulletproof reliability at a mere fraction of the price of its established rivals.

The brand not only made consumers stand up and take notice, it also forced US and European luxury brands to step up their game amid a period of malaise in the luxury market.

In many respects, Lexus and its "Relentless Pursuit of Perfection" is the reason why the modern luxury cars like the Mercedes-Benz S-Class, BMW 7-Series, Audi A8, and even the Cadillac CT6 are so freaking amazing.

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Leading the charge for Lexus was its groundbreaking flagship LS400 sedan. (There was also an entry-level Toyota Camry-based ES 250.) The LS pampered its occupants supreme luxury and refinement. The original LS was so smooth that a glass of water left sitting on its engine would be left completely undisturbed even as the driver revved the motor. It's a party trick Lexus proudly demonstrated in a now iconic commercial.

Lexus delivery all of this at significantly lower price point than the competition.

To put things into perspective, a brand new Lexus LS400 costs a mere $35,000 in 1989 while a base BMW 7 Series of the time carried a starting price of $54,000.

Over the years, Lexus has firmly established itself as one of the world's tier one luxury brands alongside the likes of Mercedes-Benz and BMW both in terms of sales prowess and prestige.

For 2018, Lexus introduced the fifth generation LS sedan, this time dubbed the LS500. It's the first all-new iteration of LS flagship sedan is more than a decade.

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In August, Business Insider had the chance to spend a week with a 2018 Lexus LS500 decked out in a Manganese Luster paint job. As part of our test, we even took the LS on a 500-mile road trip between New York and Washington D.C.

The 2018 Lexus LS500 starts at $75,000 while our all-wheel-drive test car started at $78,220. With an impressive lineup of optional extras, our test car came to us at an as-tested price of $115,520.

Let's take a closer look at the new five generation Lexus LS 500 sedan:

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The Lexus LS 400 took the luxury auto market by storm when it debuted back in 1989.

The Lexus LS 400 took the luxury auto market by storm when it debuted back in 1989.

The LS impressed with its luxury, style, and refinement.

The LS impressed with its luxury, style, and refinement.
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The smoothness and the performance of the LS 400's 250 horsepower V8 was remarkable.

The smoothness and the performance of the LS 400's 250 horsepower V8 was remarkable.

In its day, the LS took the fight to the W126 Mercedes-Benz S-Class followed by ...

In its day, the LS took the fight to the W126 Mercedes-Benz S-Class followed by ...
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....The W140 S-Class.

....The W140 S-Class.

It also took on the likes of the BMW 7 Series, ...

It also took on the likes of the BMW 7 Series, ...
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...The Audi V8, Jaguar XJ, Lincoln Town Car, and the Cadillac Fleetwood.

...The Audi V8, Jaguar XJ, Lincoln Town Car, and the Cadillac Fleetwood.

A second generation LS debuted in 1995 followed by...

A second generation LS debuted in 1995 followed by...
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...A third generation model in 2001.

...A third generation model in 2001.

In 2007, Lexus rolled out its fourth generation LS. It would be the last all-new variant of the LS for more than a decade.

In 2007, Lexus rolled out its fourth generation LS. It would be the last all-new variant of the LS for more than a decade.
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That is...until the arrival of our 2018 fifth generation Lexus LS 500.

That is...until the arrival of our 2018 fifth generation Lexus LS 500.

Today, the LS still goes toe to toe with the Mercedes-Benz S Class, ...

Today, the LS still goes toe to toe with the Mercedes-Benz S Class, ...
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...The BMW 7-Series, ...

...The BMW 7-Series, ...

...The Audi A8,...

...The Audi A8,...
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... Jaguar XJ, and...

... Jaguar XJ, and...

...Cadillac CT6.

...Cadillac CT6.
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There are also new challengers in the picture like the Porsche Panamera,...

There are also new challengers in the picture like the Porsche Panamera,...

... The Maserati Quattroporte VI, and...

... The Maserati Quattroporte VI, and...
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... Even the Genesis G90 from Hyundai's new luxury brand.

... Even the Genesis G90 from Hyundai's new luxury brand.

Fortunately, the new LS has it covered.

Fortunately, the new LS has it covered.
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Aesthetically, the LS 500's new low-slung look coupled with its edgy lines make for a modern, yet eye-pleasing large sedan.

Aesthetically, the LS 500's new low-slung look coupled with its edgy lines make for a modern, yet eye-pleasing large sedan.

Its heavily raked roofline helps the LS cut a coupe-like silhouette.

Its heavily raked roofline helps the LS cut a coupe-like silhouette.
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This is a look that's in vogue these days.

This is a look that's in vogue these days.

Up front, Lexus's once-controversial spindle grille has aged remarkably well. In fact, the grille has looked better and better with each passing iteration.

Up front, Lexus's once-controversial spindle grille has aged remarkably well.  In fact, the grille has looked better and better with each passing iteration.
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On the LS, it looks terrific. Paired with the distinctive triple-projector LED headlamp, the front end sets the tone for the rest of the car.

On the LS, it looks terrific. Paired with the distinctive triple-projector LED headlamp, the front end sets the tone for the rest of the car.

In the back, the raked roofline is joined by "L" shaped LED taillights, a subtle integrated decklid spoiler, and dual exhausts.

In the back, the raked roofline is joined by "L" shaped LED taillights, a subtle integrated decklid spoiler, and dual exhausts.
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Inside, the LS was nothing short of magnificent. It's filled with intricately crafted design accents; plush, high-quality materials; and enough tech to satiate any smartphone junky.

Inside, the LS was nothing short of magnificent. It's filled with intricately crafted design accents; plush, high-quality materials; and enough tech to satiate any smartphone junky.

Look at this door panel! Check out how glass, leather, plastic, metal, and fabric come together in one place.

Look at this door panel! Check out how glass, leather, plastic, metal, and fabric come together in one place.
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A wide shot of the door shows the hand pleated fabric trim and Kiriko glass door inserts. Some may call it over designed, but I think it truly sets the LS apart.

A wide shot of the door shows the hand pleated fabric trim and Kiriko glass door inserts. Some may call it over designed, but I think it truly sets the LS apart.

In front of the driver is a stylish heated leather and wood steering wheel complete with paddle shifts and infotainment controls. There's also a massive 24-inch color heads-up display.

In front of the driver is a stylish heated leather and wood steering wheel complete with paddle shifts and infotainment controls. There's also a massive 24-inch color heads-up display.
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Beyond that is a configurable digital instrument cluster that draws inspiration from the enchanting LC coupe.

Beyond that is a configurable digital instrument cluster that draws inspiration from the enchanting LC coupe.

Next to the instrument cluster is the drive mode selector whose look and placement is taken directly from the LFA supercar. I preferred eco or comfort for highway cruising and sport for city driving.

Next to the instrument cluster is the drive mode selector whose look and placement is taken directly from the LFA supercar. I preferred eco or comfort for highway cruising and sport for city driving.
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The front dash is dominated by a 12.3-inch widescreen infotainment display running the latest version of the Lexus Enform system.

The front dash is dominated by a 12.3-inch widescreen infotainment display running the latest version of the Lexus Enform system.

Even though Lexus has worked hard to improve the system, infotainment is still Toyota and Lexus's Achilles heel. It's certainly a lot prettier than it once was, but it's still too unintuitive to use while its input system is just stupid. More on this later.

Even though Lexus has worked hard to improve the system, infotainment is still Toyota and Lexus's Achilles heel. It's certainly a lot prettier than it once was, but it's still too unintuitive to use while its input system is just stupid. More on this later.
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However, the rest of the LS 500's tech suite is incredibly impressive. This includes a Wifi connectivity, adaptive headlamps, 16-way massaging climate-controlled front seats, and a 23-speaker, 2,400-watt Mark Levinson sound system.

However, the rest of the LS 500's tech suite is incredibly impressive. This includes a Wifi connectivity, adaptive headlamps, 16-way massaging climate-controlled front seats, and a 23-speaker, 2,400-watt Mark Levinson sound system.

The LS 500's adaptive cruise control and lane keep assist programs worked magnificently during our road trip. In fact, it proved to be more consistent and reliable than the Tesla Autopilot system on the Model X we drove a couple of months ago.

The LS 500's adaptive cruise control and lane keep assist programs worked magnificently during our road trip. In fact, it proved to be more consistent and reliable than the Tesla Autopilot system on the Model X we drove a couple of months ago.
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Our test car came equipped with a $23,000 Executive Package that includes many of the interiors intricate design details, but also a more plush rear cabin.

Our test car came equipped with a $23,000 Executive Package that includes many of the interiors intricate design details, but also a more plush rear cabin.

Including reclining rear seats.

Including reclining rear seats.
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The spacious rear cabin boasts 38.9 inches of legroom and 36.4 inches of headroom.

The spacious rear cabin boasts 38.9 inches of legroom and 36.4 inches of headroom.

Even though the optional panoramic glass roof caused us to lose 0.4 inches of rear headroom, it was well worth it.

Even though the optional panoramic glass roof caused us to lose 0.4 inches of rear headroom, it was well worth it.
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Overall, cabin ergonomics are solid. Most of the controls are easily sorted out and within arms reach. Everything is pretty much where they should be.

Overall, cabin ergonomics are solid. Most of the controls are easily sorted out and within arms reach. Everything is pretty much where they should be.

There's a good mix of infotainment-base features and physical shortcut buttons. However, the experience is thrown off by two things. The touchpad and the shifter.

There's a good mix of infotainment-base features and physical shortcut buttons. However, the experience is thrown off by two things. The touchpad and the shifter.
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In recent years, Lexus has struggled to come up with an effective input method for its infotainment systems. The puck proved to be a bit tedious to use so in 2015, they rolled out this touchpad system. Well, it hasn't worked. It's still way too imprecise. The touchpad is a chore to use when the car is at a standstill and nearly impossible for the driver to use at speed without neglecting the road. This coupled with the Enform infotainment system's maze of menus and submenus and you end up with a truly messy experience.

In recent years, Lexus has struggled to come up with an effective input method for its infotainment systems. The puck proved to be a bit tedious to use so in 2015, they rolled out this touchpad system. Well, it hasn't worked. It's still way too imprecise. The touchpad is a chore to use when the car is at a standstill and nearly impossible for the driver to use at speed without neglecting the road. This coupled with the Enform infotainment system's maze of menus and submenus and you end up with a truly messy experience.

And then there's the shifter. Off all the shifter setups to which Lexus had access, they decided to go with the one from the Toyota Prius. Instead of a traditional PRND set up, you have to tug left and then down to put the car into drive. Going from drive to reverse requires several bumps of the toggle. I accidentally wound up in neutral several times.

And then there's the shifter. Off all the shifter setups to which Lexus had access, they decided to go with the one from the Toyota Prius. Instead of a traditional PRND set up, you have to tug left and then down to put the car into drive. Going from drive to reverse requires several bumps of the toggle. I accidentally wound up in neutral several times.
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As a large sedan, the LS boasts a sizable trunk out back.

As a large sedan, the LS boasts a sizable trunk out back.

Pop open the trunk and you'll find just under 17 cubic feet of cargo room.

Pop open the trunk and you'll find just under 17 cubic feet of cargo room.
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Under the hood, the Lexus LS 500 is powered by a 416 horsepower, 3.5-liter, twin-turbocharged V6.

Under the hood, the Lexus LS 500 is powered by a 416 horsepower, 3.5-liter, twin-turbocharged V6.

This the first LS to be fitted with a V6 instead of the traditional naturally aspirated V8. Fortunately, the turbo six proved to be smooth and gutsy under hard acceleration. It's fitted to a new 10-speed automatic transmission. The transmission proved up to the task with quick and smooth shifts.

The LS is also available as a hybrid. It's powered by a 3.5 liter, Atkinson cycle V6 paired with the brand's new Multi Stage Hybrid System that debuted on the LC 500h coupe last year. Together, the system produces 354 horsepower.

The LS is also available as a hybrid. It's powered by a 3.5 liter, Atkinson cycle V6 paired with the brand's new Multi Stage Hybrid System that debuted on the LC 500h coupe last year. Together, the system produces 354 horsepower.
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Our test car came equipped with a rear-biased all-wheel-drive system that can send up to 69% of the power to the rear wheels under dry conditions. The system can route up 48% of the power to the front wheels when things get slippery. Our LS also came with an electronic limited slip differential.

Our test car came equipped with a rear-biased all-wheel-drive system that can send up to 69% of the power to the rear wheels under dry conditions. The system can route up 48% of the power to the front wheels when things get slippery. Our LS also came with an electronic limited slip differential.

According to Lexus, the rear-wheel-drive LS can do 0-60 mph in just 4.6 seconds and reach an electronically limited top speed of 136 mph. We didn't do metered testing, but our all-wheel-drive tester felt equally as quick. The hybrid is just a tad slower with a 0-60 mph time of 5.1 seconds.

According to Lexus, the rear-wheel-drive LS can do 0-60 mph in just 4.6 seconds and reach an electronically limited top speed of 136 mph. We didn't do metered testing, but our all-wheel-drive tester felt equally as quick. The hybrid is just a tad slower with a 0-60 mph time of 5.1 seconds.
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So, what's it like to drive?

So, what's it like to drive?

The Lexus LS 500 driving experience can best be described as stately and elegant. This is not a car that is to be rushed. The twin-turbo V6 delivered solid power and the adjustable air suspension kept the 5,000-pound sedan under control in the corners, but LS is by no means a sports sedan.

For the most part, the big LS is most comfortable as a boulevard cruiser.

Although steering and transmission programming does become much more aggressive and lively in sport mode.

The cabin was not quite Rolls-Royce quiet, but it also wasn't terribly far off. Our only complaint was the ride. The LS 500's suspension proved to be rather poor at soaking up bumps and small potholes, a surprising development for a posh sedan of its stature. There were multiple instances during our time with the LS where a bump in the road would cause the entire car to shudder.

Our verdict.

Our verdict.

In 1989, the Lexus LS shocked the world with its luxury, refinement, tech, and performance. Now, the LS surprises again. This time for slightly different reasons.

No one questions whether Lexus can do luxury and refinement. But the brand has been criticized for being a bit dull and inoffensive over the years. In reaction, Lexus had pushed to become to more modern and aggressive in its design. However, early attempts at this came off as a bit forced, like a middle-aged dad trying to use slang. And you can definitely see this in early forms of the spindle grille.

Over the past year or two, the look and feel Lexus's new design language has really come together. And the new LS really the capstone for this process.

The new LS 500 proves that Lexus can still deliver a luxurious, refined, high-performance luxury sedan but wrapped in edgy and dramatic design.

The first LS caught the luxury market off guard. Thanks to Lexus, the ante has been raised significantly in the years since.

With the 2018 Lexus LS 500, the folks at Toyota's luxury division proves they still have the magic touch.

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