The mid-size three-row unibody SUV. There are actually several types of three-row SUVs: body-on-frame, large unibody SUVs — they're not exclusive to the mid-size segment. And, according to S&P Global Mobility, they make up eight to nine percent of the total.With the inevitable and impending market shift away from sedans heading toward the direction of SUVs, the market has seen an increase in certain demands. If you notice, most of your favorite SUVs, three-row or not, are becoming far more premium than they used to. Some vehicles like the Volkswagen ID.4 come with an AI counterpart that's dashboard moves in the direction of where you need to go based on the GPS. Nappa leather is becoming optional in some mainstream cars. All things that you would expect to find in a luxury car are now available in a standard unit. What is the most luxurious hybrid mid-size three-row "mainstream," or "luxury-lite," however? What Makes The Lexus TX Hybrid The Benchmark For Hybrid Luxury Lexus There has been a desperate need for a larger, more comfortable, and family-forward Lexus, but also a luxury mid-size three-row SUV in general. The RX had a long wheelbase version for a while, but that was way too teeny tiny for most people, even kids. There's always been third-row options for the LX and GX, but they have the same issues. German automakers have solved this issue with the Audi Q8, the BMW X7, and the Mercedes-Benz GLS, but the Lexus TX gives this segment a more approachable price tag with that tried and true Lexus reliability. The Badge Premium Lexus The Lexus TX came out initially for the 2024 model year and is based on the same platform as the Toyota Grand Highlander (another luxury-lite SUV). While we did mention previously that it's at a more approachable price point, it's not necessarily cheap, either. While the base 2026 Lexus TX sans hybrid starts only around $58,000, the Hybrid does start at a much more premium price of $71,710. Trust us, though, that is still a few thousand dollars cheaper than any other hybrid in this segment that does and doesn't have a third row. Where The Hybrid Powertrain Delivers Lexus There are technically two versions of this hybrid. There's the standard one that features a smaller internal combustion engine with two electric motors and standard all-wheel drive. The most powerful of all the TXs, however, is the 550+, which has a 3.5-liter V6 and an 18.1-kWh battery pack giving you 33 miles of range. You'll have to shell out for that one, as it starts at a mere $80,000. 2026 Lexus TX 500h Performance Specs Luxury-Lite Or Just Luxury? Mercedes-BenzWhat even defines a luxury car anymore? Is it the brand image, the prestige of the engine, or the price tag? As they say, beauty is in the eye of the beholder, and it might be up to the buyer at this point to decide. Mostly everything comes with heated and cooled seats now, a heated steering wheel, and there are some that even have ambient lighting. Maybe it really takes a car to make you feel like it's going above and beyond to make you feel special and that you own the road, which gives you that prestige feel. Redefining What Luxury Means Mercedes-Benz Traditionally speaking, however, luxury has mostly meant that the vehicle has hand-stitched leather, it's made by hand and not machines, and it might even be a one-off. Mercedes-Benz, in recent years, has fallen victim to cries of bad product quality in its wood grain and dashboard design, which may have changed in the new C-Class. The feeling of cheap materials that look expensive, which could easily be found with an initial better quality in something like a Genesis. Why The Line Between Upscale And Standard Has Never Been Thinner Mercedes-Benz The line, at this point, is debatable. You can still walk into a dealership and get a bare-bones hybrid Santa Fe, for example, with a starting MSRP of $38,000 easy. That's almost unheard of right now, especially for a hybrid. Yet you could absolutely make it a premium car by taking it up into the ultra-premium model, the Calligraphy, that costs nearly double the base price tag. While it might not have the badge, it still has the features. The Hyundai Palisade Is The Mainstream Hybrid SUV That Feels More Luxurious Than Its Lexus Rival Starting MSRP: $44,160 Nicole Wakelin/TopSpeed The Hyundai Palisade started life as the "Range Rover for the middle class." Well, Hyundai took that all the way to the bank and has somehow made it look like an older model Range Rover. This model, in general, has been an absolute money-printing machine for Hyundai since its debut for the 2020 model year. In the US, according to Good Car Bad Car, since it debuted, it's sold nearly half a million units, with the all-new 2026 generation already selling 27,704 units within the first quarter. Impressive doesn't even begin to describe the tremendous growth this has given Hyundai as a brand. The 2026 Palisade Hybrid line starts at $44,160 and tops out at $56,780 for the Calligraphy trim.The Palisade Hybrid offers a premium cabin experience with soft-touch materials that look and feel upscale. The ride stays remarkably quiet with laminated glass and excellent sound insulation to prevent road and wind noise from intruding. Adults can easily chat up front while the kids snooze in the back.- Nicole Wakelin, TopSpeed Journalist Space, Presence, And Road Command Nicole Wakelin/TopSpeed The remodeling of one of their best-selling vehicles is a huge risk, but one we think that paid off. It still offers the V6, unlike its redesigned corporate cousin (the Kia Telluride), but also offers the more robust and eco-friendly Hybrid if you want that as well. The new design features an "H" motif on the front and rear fascia in the tail and headlight designs, as well as the lightbar that runs across the grille at night, really putting an emphasis on that. Hyundai has successfully made this more premium-looking on the outside, no matter what trim you get. Whether you like the way it looks, however, is purely up to your opinion. The Family Hauler With The First Class Cabin Nicole Wakelin/TopSpeed Take one step inside the 2026 Palisade cabin, and you truly would not believe your eyes. While the previous generation housed some "my first car" style oversized buttons, and frankly, too many buttons for that matter, this cabin has a much more elegant feel to it. It's cleanly laid out, has a stunningly designed, rounded dashboard with a similar motif going on in the center console, with a kind of elegant sleeping bag-style center console. There's a UV sanitizer station for your phone and other belongings, massage chairs for the driver's seat, and an available tri-zone automatic climate control system. A lot of features that Lexus and other luxury vehicles also have. Palisade Specs And Features Hyundai The Palisade is viewed as the more premium model compared to the Kia Telluride. Plainly, that is why it is still offered with the V6 engine. Hyundai did, mind you, still want to offer the three-row family hauler with a gas-saving option. It's not anything to shake a proverbial stick at either, because it ends up being more powerful and much more fuel efficient than its V6 counterpart. Under The Hybrid Hood Hyundai Not to mention, the Palisade actually gets better fuel economy than its luxury rival, which we mentioned earlier, the Lexus TX. The TX has a combined MPG of 27, while the Palisade gets a whopping 33 miles to the gallon. Unfortunately, the TX does have a thousand pounds more in towing capacity, but who truly needs that? 2026 Hyundai Palisade Hybrid Performance Specs The Feature List That Makes Lexus Buyers Have Buyer's Remorse Hyundai Some other things we forgot to mention that this comes with, optionally speaking, are a Bose 14-speaker sound system, wireless CarPlay and Android Auto, a wireless charging pad, and a gorgeous panoramic sunroof. What more can we say that would convince you away from a luxury family hauler and save a few bucks with the Hyundai Palisade Hybrid? You get the same worthwhile features, not to mention a killer warranty that rivals even Lexus.