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BMW enters the baby-SUV market with the all-new X1 -- but does this little crossover have enough space to be considered an SUV?

First Glance

The 2014 BMW X1 has to claims to fame: Not only is it BMW's smallest SUV (sorry, SAV -- BMW calls them "Sports Activity Vehicles"), but it's also the least-expensive BMW on the market, with a starting price of $31,825.

Of course, least-expensive is all relative when you're talking about BMWs.

Finding an option-free Bimmer is like finding a good fishing spot in the Mojave desert. (Yes, they exist, but they are few and far between.) The X1 I tested appeared pretty sparsely equipped at first glance, but it stickered for close to $36k, and this for a car with no navigation, no backup camera, and manually-adjustable seats. If you want luxury nice-to-haves like leather, a sunroof, keyless ignition and navigation, you're looking at spending a more BMW-like $42,000.

As for its claim to being a small SUV -- well, the small part certainly goes uncontested, as the X1 delivers cargo and back-seat space more in line with a compact hatchback than a compact SUV.

Exterior dimensions are another story: The X1's nose is sized to accommodate an inline six-cylinder engine, although most X1s (my tester included) have twin-turbo four-cylinder power. That leaves nearly as much empty space under the hood as there is in the cargo area, but I like what it does for the X1's proportions. BMW has chosen a middle ground between the wagon-on-steroids look of the Audi alroad and the traditional shape of the Mercedes GLK; the X1 is tall like an SUV but lean like a wagon, and I think it's a rather handsome vehicle.

In the Driver's Seat

The X1's interior does not deviate from BMW's norm, which is the nicest way I can think of to say that it looks almost exactly like the inside of every other BMW I've driven. I don't normally like solemn black interiors, but my test car's cabin struck a chord; it had the stark driver-focused simplicity that helped grow BMW's fan base in the 1970s and '80s. Spartan, yes; joyless, no.

My tester gave me a good taste of what $32k gets you in the world of BMW. The dual-zone climate control system has not one, but four automatic fan modes. I love that -- few things annoy me more than pressing "AUTO" and then having to turn the fan down to tame the ensuing arctic blast. The base-model stereo sounded decent, and I was amazed at how much information BMW can display on its two-line LCD screen. All X1s come with Bluetooth phone connectivity, but not Bluetooth audio connectivity... something that stunned me beyond the ability to be appalled.

The X1 I drove did have the $1,900 Sport package, which includes upgraded front seats with an adjustable thigh bolster -- very nice. And the "Sensatec" upholstery was convincing enough that I had to check the car's specs to assure myself it wasn't real leather.

Behind the front seats, it all starts to go downhill. The back seat is reasonably supportive, but decent legroom is reserved for those lucky enough to be seated behind someone short. Drop in a 6' driver and back-seat legroom disappears. The back seat does split and fold in three separate sections, a good thing as the cargo bay needs all the help it can get. It measures up to just 25 cubic feet, making it even stingier than the Audi allroad. No wonder BMW calls it a Sports Activity Vehicle and not a Sports Utility Vehicle.

On the Road

The X1's base engine is the 241 horsepower twin-turbo 2-liter four-cylinder from the BMW 328i. This wonderful little engine replaced BMW's normally-aspirated straight six a couple of years ago, and it delivered an impressive rush of power despite my test car's optional all-wheel-drive system and heavy-ish 3,700 lb curb weight. Fuel economy estimates with all-wheel-drive are 22 mpg city and 33 mpg highway; rear-drive models are rated 1 mpg higher. Those numbers are comparable to other small SUVs. I averaged 25.8 mpg in mixed driving.

BMW also offers the X1 with a 302 hp twin-turbo six-cylinder engine, but most of the power advantage is lost because the six get a six-speed automatic instead of the four-cylinder's eight-speed unit. Fuel economy estimates are lower as well -- 18 mpg city and 27 mpg highway. (Sadly, the X1 can't be had with a stick-shift -- shame, that's one of the best parts of driving a BMW.)

Two-wheel-drive X1s (labeled "sDrive") send power to the rear wheels, which is great for handling on a curvy road but not so great for traction in the snow. My car had the xDrive all-wheel-drive system, optimized for paved roads and bad weather rather than true off-roading. The aforementioned Sport package features a stiffer suspension, and while the X1 was far from the most agile BMW I've driven, I liked the direct steering and the comfortable ride.

The X1 comes with an auto-stop mode that shuts the engine off at stoplights. I complained bitterly about the harshness of this system in the BMW 528i, but either Bimmer has improved it or I was in a better mood; the restarts didn't seem quite so rough. There's also an EcoPro mode that cuts power to boost fuel economy, but you have to remember to turn it on every single time you start the car.

Journey's End

As a Bimmer, the 2014 BMW X1 acquits itself well: It has the look, the feel, and the driving characteristics we expect from BMW. But as an SUV, the lack of back seat and cargo space makes it harder to justify. To be fair, the BMW isn't alone: Audi's allroad quattro is just as tight on interior room, and the Mercedes GLK skimps on cargo space and rear-seat legroom as well.

Incidentally, if you want to see a small SUV done right, check out the Buick Encore -- it offers similar interior dimensions in a tiny, inexpensive, fuel-efficient and easy-to-park package. Not that I expect that many BMW buyers would seriously consider a Buick... but I'm just sayin'.

If you're looking for space for the family, you'd be better served by a BMW X3. Its starting price is a lot higher (just over $40k), but once you start adding options, the price gap between it and the X1 shrinks... though not by much. I'd also consider the Infiniti QX50 (formerly known as the EX). It has the same sporty emphasis as the X1, and you can get a nicely equipped version (leather, sunroof, nav) for under $41k.
If you have your heart set on a BMW and only occasionally need the utility that SUVs are supposed to offer -- in other words, the kind of person to whom a small, inexpensive BMW appeals -- the X1 makes sense. But if you're looking for utility and value, the X1 probably isn't your best choice. -- Aaron Gold