So has BMW managed to hit their target? How could they miss? This time around the boys from Bavaria weren't exactly reinventing the wheel, but improving on it. The X5 entered the picture when very few luxury SUVs were available, and fewer still that offered sport-sedan-like handling. Now nearly every premium brand has an SUV, with some offering two or three distinct models. The X3 leaves a unique footprint due to its compact size and premium quality. While almost all entry-level automakers offer compact

With its high quality materials and superb interior fit and finish, the X3 stands apart from any other compact SUV. (Photo: Trevor Hofmann, Canadian Auto Press)

SUVs, only Land Rover purveys a 'premium' compact sport utility - and with build quality and features that don't measure up to the majority of entry-level brands, premium may not be the right adjective.

No such problems exist for the X3. The moment I opened the driver's door I knew they'd got it right. Just like the 3-Series, and all BMWs, interior fit and finish is superb. The choice of top-tier plastics; beautifully finished woods or metallic surfaces, depending on trim choice; and finely stitched (albeit optional) high-grade leather, set the X3 apart from any other compact SUV.

The rear seats, which offer ample room for adults, are ergonomically designed for support and comfort. (Photo: Trevor Hofmann, Canadian Auto Press)

I made a point of sitting in the back first off, finding more than enough leg and headroom, with ample width for two large or three small adults. The rear seats, like those in front, are ergonomically designed for support and comfort, not hard on the backside even after a full day behind the wheel.

There's ample cargo space too, offering 480 L (17.0 cu ft) when all seats are in place, or up to 1,560 L (55.1 cu ft) when the split rear seatbacks are folded forward. BMW has added cargo fastening rails to the rear floor as well, with attachments available for clamping down up to two mountain bikes, plus other attachments for miscellaneous gear. The cargo area is easily accessible by lifting the one-piece hatch, opening up a large pass-through with a relatively low lift-over height.