In the world of compact sport/luxury cars, there is one nameplate that has reigned supreme for as long as many drivers can remember. It’s the BMW 3 Series, and for 2006 it’s redesigned with a fresh new look and more power. Heck, BMW has even seen fit to make the frustrating iDrive ergonomic controller an option on the new Three, which helps to make the company’s smallest sedan also its most compelling. But there’s still room for some good ol’ competition, and the best of this year’s crop of 3 Series fighters is the 2006 Lexus IS, specifically the 350 model.

To keep things even, and to make life more interesting, the highest-powered, rear-wheel-drive trims of each model were used, the BMW 330i and the Lexus IS 350, each equipped with an automatic transmission.

2006 BMW 330i

Our Bavarian competitor was a Titanium Silver Metallic 2006 BMW 330i that had a plethora of options tacked on, including that fancy paint ($475); a Cold Weather Package ($1,000) that added heated front seats, headlight washers, and a fold-down rear seat; and a Premium Package ($2,000) that added a universal garage door opener, an auto-dimming rearview mirror with an integrated compass, power folding mirrors, power lumbar, a BMW Assist and Bluetooth communications system, and leather seats. To make sure the driving was as entertaining as possible, the Sport Package ($1,600) added 18-inch alloy wheels, a sport suspension system, a leather-wrapped steering wheel, and front sport seats; but we did include a Steptronic six-speed automatic transmission ($1,275) since that’s what most people actually buy. Rounding out the list of options was an active steering system ($1,250); a navigation system ($2,000); and Sirius satellite radio ($595). With a $695 destination charge thrown in, the sticker on our Bimmer towered at $47,390.

Power for the BMW 330i comes from a 3.0-liter, inline six-cylinder engine generating 255 horsepower at 6,600 rpm and 220 lb.-ft. of torque at 2,750 rpm. Transmission choices include a standard six-speed manual that offers an EPA-estimated 20 mpg in the city and 30 mpg on the highway, or the optional Steptronic automatic that returns 21 and 29 mpg, respectively. Our tester with the automatic tranny ran an average of 20.6 miles per gallon.

The 330i rides on a fully independent suspension, with struts and coil springs up front and a multi-link setup in the rear. Front and rear stabilizer bars are standard on all 3 Series sedans. Ventilated discs measuring 330mm in front and 336mm out back work with a standard antilock system, electronic brake force distribution, and electronic brake assistance to slow things down. Though our tester came fitted with 18-inch alloys, the 330i comes stock with 17-inch alloy wheels and 225/45 run flat tires. Among the long list of standard features is a free maintenance program spanning four years or 50,000 miles, front side airbags, front and rear curtain airbags, a 13-speaker audio system with surround sound, a power sunroof, and power front seats with driver’s side memory.

2006 Lexus IS 350

When it first saw the light of day for the 2001 model year, the Lexus IS 300 marked Japan’s first legitimate attack on the BMW 3 Series. Upon its debut, the IS was available with four doors, folded and creased styling that was boxy but sleek, 215 horses from its 3.0-liter inline six-cylinder engine, and a price tag that hovered around the $30,000 mark. As expected from a brand like Lexus, the 2001 IS 300 was a critical success, but consumers outside of the Sunbelt stayed away in droves, allowing the 3 Series to remain the king of the hill. For 2002, Lexus added the SportCross, a five-door wagon that did little to increase sales. While Lexus went to work on the next-generation version, the original IS continued on through the 2005 model year with few changes. Even the price held close to $30,000.

For 2006, Lexus creates an all-new car with a completely different design vocabulary. Sporting a long nose/snubbed tail design borrowed from the larger GS, of the 2006 Lexus IS is available as either a 250 or 350 model. We got our hands on a pre-production IS 350, one that came without a window sticker, though such examples on your dealer’s lot will start at $36,030 including a $590 destination charge. Given that pre-production cars aren’t quite up to retail detail, we have to scratch comparisons of build quality from this head-to-head showdown. Nonetheless, we can tell you that our 2006 Lexus IS 350 was pretty well pimped out. Like the BMW, our IS had a Sport package that included a fully independent sport suspension utilizing double wishbones up front and a multi-link setup out back, and 18-inch alloy wheels wearing Dunlop Sport Maxx 225/40 front and 255/40 rear summer tires. Xenon headlights lit the way, and we enjoyed the optional 300-watt, 14-speaker, six-CD Mark Levinson sound system. This lush audio equipment is bundled with a navigation system that can play DVDs when the car’s transmission is placed in “park,” and our IS 350 also had both a Bluetooth wireless communications system and a reversing camera on board. Other perks included wood trim, heated mirrors with driver’s side memory, a power tilt and telescoping steering wheel with memory, rain-sensing wipers, alloy metal pedals, and leather seats that were heated up front. In total, we estimate our pre-production Lexus IS 350 would sticker for roughly $44,000.

Under the 2006 Lexus IS 350’s hood is a 3.5-liter, 24-valve, dual overhead cam V6 engine pushing 306 horsepower at 6,400 rpm and 277 lb.-ft. of torque at 4,800 rpm. The only transmission offered is a six-speed automatic with a manual-shift sport mode. Mileage is rated by the EPA at 21 mpg in the city and 28 mpg on the highway; we achieved an average of 19.9 mpg during our testing.

Each 2006 Lexus IS 350 sits on a fully independent suspension system using MacPherson struts in front and a multi-link setup in the rear. Front and rear stabilizer bars are standard. Slowing the 3,527-lb. IS 350 down, the four-wheel-disc, antilock braking system includes ventilated rotors that measure 334mm in front and 310mm in back. Electronic brake force distribution and an electronic brake assistance system chip in to stall the standard 17-inch alloy wheels wearing tires measuring 225/45 in front and 245/45 in the rear.