Kia Picanto vs Lexus LM 500H

What's the difference?

Australians are moving into ever-larger vehicles when really we should be embracing the small car now more than ever. It's great Kia is still here, with its Picanto showing what can be offered in such a compact form-factor.

While it's not as affordable as it once was, it looks like it won't be long before Kia is the last torchbearer of sub-$20k starter cars. Even so, this is a great choice for buyers on strict budgets.

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. 

You wouldn't know it in Australia, where our collective tastes are orienting toward larger and larger vehicles, but city cars are experiencing something of a golden age overseas.

Cars like the Nissan Sakura, Honda N One, and Hyundai Casper join a long list of others which are design leaders in the city-car segment, and this is why the Picanto needs to look sharper than ever to compete.

Particularly in the GT-Line form we tested for this review, the 2024 car has adopted a dramatic facelift which complies to Kia's incoming and much more science-fiction look, complete with an extremely angular design and frowny LED light fittings.

Around the rear, there's a reworked set of tail-lights with a contemporary strip which almost reaches the whole way across the boot lid, and the new alloy wheels round out the whole aesthetic.

Given this, it's a little disappointing to see how few elements have changed on the interior. From the inside, this Picanto feels basically the same as the pre-update version.

I like the D-shaped steering wheel the GT now gets, and the multimedia screen is great for such a small and affordable car, but all the other switchgear, including the steering wheel is from previous-generation Kia products, and not the shiny new design-led stuff which appears in cars like the Sportage, Sorento, or Niro.

Also, while it's feature-laden all things considered, the interior plastics are mainly the harsh, hollow, scratchy kind. The new digital instrument cluster isn't one big screen, instead it's constructed of a few basic sectors which aren't customisable outside of the background colour. At least the central portion shows some useful information.

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.

Feeling a little old or not, the Picanto has a clever interior which makes the most of its limited dimensions.

There are huge bottle holders in the front doors, a further two with little flip-out sectors which sit below the air-con controls. These holders can be folded away to turn this space into a tray for the storage of large objects. There's even a centre armrest console box, but it's tiny.

On the topic of air-conditioning controls, these are, refreshingly, physical dials, which are increasingly going missing as manufacturers move such functions to touchscreens. The Picanto keeps things manual though, even including a volume and tuning knob for the touchscreen, with physical shortcut buttons adorning the bottom section of the frame.

Physical controls is something Hyundai Group has committed to, and it's not until you use a vehicle without them you realise how essential they can be.

Despite its tiny footprint, there's also plenty of room in the cabin for an adult my size (I'm 182cm tall). I felt as though there was massive airspace between my head and the roof, as the Picanto's seats let you sit nice and low to the ground, and while it's limited in its width, it feels like I had enough room and adjustability for my legs.

Only one area brought me discomfort and it was the elbow-rest in the door. Sounds silly, but while the GT-Line has a little synthetic leather strip here, for some reason it has no padding, so it's seemingly for aesthetic purposes only and is still an uncomfortable place to rest your elbow on longer journeys.

It sounds unlikely, but I fit behind my own driving position in the back seat, with my knees almost up against the back of the front seat. Thankfully, the seat backings are softly-clad so even if you were slightly taller than me it might be ok.

Again, headroom is sufficient, and the seats are reasonably comfortable in the outer two positions. There are no amenities in the back seat. Rear passengers don't get air vents, door pockets, or a drop-down armrest in the centre position. There is only a small pocket on the back of the passenger seat. Can't say it would be the best space for longer journeys, but it fits adults for short city trips.

The boot measures 255 litres. It's small enough it may rule the Picanto out for some family buyers who need to wrestle with a pram or some such. The boot is large enough to fit either the largest CarsGuide luggage case on its own, or the two smaller ones, but absolutely not all three. It may surprise you to learn there is enough room under the floor for a space-saver spare wheel.

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.

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.

This is another area where the Picanto is feeling in need of a little innovation. It has the same very dated 1.2-litre four-cylinder petrol engine as the previous car, producing a sufficient but not exciting 62kW/122Nm.

It drives the front wheels via an equally old four-speed automatic transmission, or as tested, a five-speed manual transmission.

It's better with the manual if you can drive one, and a bit of a win for first time or young buyers who will still have the option to learn to drive one, so points there.

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.

An older engine and transmission combination makes for a less than impressive fuel consumption figure in today's market, but then the Picanto is a very light car, so it has lower fuel consumption than most of its contemporaries regardless.

The official fuel consumption on the combined-cycle test of the five-speed manual we tested is 5.4L/100km, and in our week of what I would consider fairly combined usage our GT-Line drank 6.0L/100km. Not great when you consider a much larger hybrid Corolla can use less fuel, but pretty close to the claim nonetheless.

The Picanto has a 35-litre fuel tank – enabling a theoretical driving range of 648km – and happily drinks base-grade 91RON unleaded fuel.

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.

You've got low power, a pretty low-tech engine and transmission, but this little Kia is still great fun to drive.

For a start, you can have it as a manual that lets you wring the best out of the little engine, which is easygoing but lacklustre with the four-speed auto.

To be clear, it's not a great manual - usually when you get a brand new manual in 2024 it's one of those fancy performance ones with nice damping and notchy gates, but as simple as it is, it also gives the car a raw mechanical nature which keeps it engaging to drive. There are real consequences for choosing the wrong gear and it takes a touch of skill to get used to, a lost art of the all-encompassing drive which is a welcome change of pace compared to a lot of cars today.

The Picanto also has keen steering helping the organic feel, and it has a firm ride, too, which makes it surprisingly sporty in the corners, but it's lightweight nature and firm suspension gave it a crashy and bouncy feel on some of the inconsistent Sydney streets I exposed it to.

It's also a bit noisy in the cabin, both in terms of engine noise (you have to rev the thing to get it going) and tyre roar on anything but the finest tarmac. This issue increases with your speed, and reminds you of its city-car intention when you're on the freeway.

Still, the city is where it's best suited to, and it's a joy to easily dart down alleyways which take a degree of caution in the usual mid-size SUVs you see around the place, and the fact you can park it anywhere can be a real blessing.

The visibility is great, too, which means multi-lane situations aren't a nightmare, and the full suite of manual adjustment for the stereo and air conditioning are super easy to use when you're on the go (who has time to adjust a touchscreen when you have a manual transmission to worry about?)

In conclusion then, the Picanto isn't to be underestimated. This is a spritely fun little thing which makes the most of its limited hardware, but it truly is best suited for the confines of a city, and gets less impressive as you get it out on the open road.

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.

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.

Kia's stand-out seven-year/unlimited-kilometre warranty isn't as stand-out as it once was, but is still the standard to beat for this segment, and is especially impressive considering the up-front cost of the Picanto.

You also get seven years of roadside assist included and a seven-year capped-price servicing program.

Over those seven years the price averages out to $438 annually, which is not as cheap as it could be, especially considering many Toyotas cost about $250 a year to keep on the road for their (shorter) warranty period.

The Picanto needs to visit a workshop once every 12 months or 15,000km, whichever occurs first.

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.