The full-size, $74,700 2008 Lexus LX 570 SUV has the worst fuel economy rating of any Lexus, at a paltry 12/18 mpg city/highway.
There’s no hybrid version, no derivative that burns E85 ethanol, and no higher-mileage diesel alternative. You can’t even get one with four cylinders that shut off when cruising to conserve gas at a time when it’s topped $4 a gallon.
Yet if you want to order one today, you may have to wait up to 90 days to get one in the color you want with the options you want.
“There’s only a four-days supply of LX 570s in dealer inventory nationwide,” Lexus spokesman Greg Tomei said. A 60-day supply is considered normal. “We don’t give the number out, but from the time it reaches the lot until it leaves the lot, the LX 570 has the quickest turn rate of any vehicle in our lineup.”
And all this at a time when rivals such as Chevrolet and Ford are cutting production of their big SUVs thanks to high gas prices.
“When you’ve got the money to afford an LX 570, you’ve got the money to afford gas, even at $4 a gallon,” said Global Insight analyst Aaron Bragman. “While some want a hybrid, some want the most audacious, most luxurious vehicle they can find.”
Bragman, however, said the success of the LX 570 must be put in perspective.
“Lexus doesn’t build 60,000 a year; rather, less than 10,000,” he said. “If the high-volume Chevrolet Tahoe was down to a four-days supply with gas at $4 a gallon, it would be a different story. It’s not that demand is high; … supply is kept low so that the LX 570 is at a four-days supply of unsold inventory rather than at 100 days and has to be discounted.”
Tomei said the sales forecast for the LX 570 is 9,500 units a year, and there are no plans to boost production in order to build dealer inventory. That’s also about how many Range Rover SUVs that Land Rover sells.
At $74,700 per LX 570 however, each sale brings in considerable profit for Lexus.