Lexus Just Announced A Brand New SUV, But Buyers May Already Want Something Else







Lexus just announced the TZ SUV for the 2027 model year. It’s a big luxurious three-row EV with an estimated range of 300 miles and it charges through a NACS plug. Just listing those attributes alone means that someone has already signed up to order one the second they are done reading this sentence. However, the three-row EV SUV segment is heating up.

For everyone else, let’s break it down a bit. No price has been announced yet, but there’s a lot of other info to dig into before Lexus drops the price tag later in the year.

It rides on the TNGA architecture, which is the same general hyper modular platform that underpins just about every current Toyota and Lexus. Lexus says customers can pick from two battery options that power the dual motor drivetrain. There’s a 76.96 kilowatt-hour pack and a 95.82 kilowatt-hour pack. The automaker has not yet shared the range of the lower capacity battery.

High-tech and high luxury

As it is a Lexus, it will have some performance-oriented features that might pique some interest. Notably, its “Direct4” system has the ability to move power from the front and rear motors while driving. It can divert power from almost an entirely front wheel drive layout (80% of the power going to the front, 20% going to the rear) to entirely rear-wheel drive (100% of power going to the rear), to a more balanced 60% front and 40% rear configuration when you’re accelerating or cornering to help mitigate the handling of a big and heavy SUV. This is also known as torque-vectoring. 

On the luxury end, the front row and second row have access to heated and ventilated seats, with the second row getting a power ottoman feature for some extra relaxation (sorry third row occupants). You also get a Mark Levinson 21-speaker sound system, the option to choose between 20 or 22-inch wheels, power sunshades, and a large panoramic sunroof — it is a big Lexus SUV after all.

The competition is fierce

As mentioned earlier, the segment is getting crowded. The Kia EV9/Hyundai Ioniq 9, Rivian R1S, Lucid Gravity, Cadillac Vistiq, and Cadillac IQ are already out. However, there’s another big three row luxury EV coming soon that might give potential TZ customers pause. Genesis has been quiet on details, but the upcoming GV90 has the very real possibility of securing buyers who would rather wait for it over the Lexus. If the rest of the Genesis lineup is anything to go off of, it will be competitive in price as well.  

Still, if the price is at a point where drivers agree, the TZ could be a compelling future entry to complement the Lexus ES and RZ electric Lexuses. There are still a lot of unknowns at the moment, but the fight between all the brands (in a segment made ever more popular by wildly fluctuating gas prices) will definitely be one to watch.





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Recent Reviews







Virtually every new SUV will depreciate in value over its life as the miles rack up and components start to wear out. However, some of them depreciate much faster than others. At one end of the spectrum, there are some models from the likes of Cadillac, Tesla, and Infiniti, all of which can lose close to two-thirds of their value after just half a decade on the road. That makes them some of the worst-depreciating SUVs on the market. At the other end, there are SUVs like the Toyota Land Cruiser.

The exact resale value of any used car will depend on factors like its trim, condition, and mileage, but on average, Land Cruiser owners can expect a higher trade-in value than most rivals will fetch. According to data from CarEdge, a new Land Cruiser can be expected to lose around 35% of its original value after five years on the road, assuming it covers around 13,500 miles annually.

Estimates from iSeeCars make for equally encouraging reading for Land Cruiser owners, with the outlet estimating that after five years, a new example will lose just 34.4% of its sticker price. Even after seven years on the road, iSeeCars estimates that the average Land Cruiser will still be worth a little over half of what buyers originally paid for it.

The Land Cruiser holds its value well

The estimate from iSeeCars puts the Land Cruiser slightly ahead of average for value retention in the large hybrid SUV segment, and significantly ahead of the overall market average for new SUVs. According to the same data, the average new SUV can expect to lose 44.9% of its value over the same period, over 10% more than the Land Cruiser. That said, a different Toyota SUV is forecast to retain even more of its value.

Since the 2025 model year, both the Land Cruiser and the 4Runner have shared their platform and hybrid powertrains. However, according to current estimates, the 4Runner is the clear winner when it comes to resale value. Data from iSeeCars forecasts that a new, non-hybrid 4Runner is likely to lose only 25.4% of its value after its first five years, and CarEdge predicts almost exactly the same figure. According to the former outlet, a hybrid 4Runner will lose slightly more of its value over the same timeframe, shedding 28.6% on average.

While the 4Runner is the better choice purely for value retention, that only forms part of the equation for most buyers. The Land Cruiser remains appealing thanks to its mix of off-road capability and on-road refinement, with even the base 2026 trim offering plenty of standard features, despite missing out on the luxuries that higher trims include.





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