cute, fantastic punch, good handling--contrasted by awful lease deals

The lease on my 2003 BMW 3 series convertible expires in March '06. The BMW is nice, but the service has been spotty and I don't really need such a high car note. I'd resigned myself to return to Japanese cars but took the A3 for a test drive on the spur of the moment today. Impressions are as follows:

a) This thing has guts! Without a salesman in the passenger seat, you could lay black treadmarks all day. It positively gallops away from standstill, making great sounds all the while. I've always found Audis to be soul-less and pokey, but the 2.0T engine has changed that (in the A3 anyway). This month's Automobile magazine says the 0-60 time is just over six seconds, and I believe it. I give the engine a solid A.

b) I have an increasingly hard time finding a car b/c I only drive a stick (except for my toy: a '75 Buick LeSabre convertible). The six-speed stick in the A3 shifted nicely (though not as smoothly as in the A4 Quattro I drove later), and clearly adds to the fun feel of the car. The gate is fairly well defined, and while I can't stand the push-down-yank-to-the-left pattern to get reverse (same as in the BMW), it is nevertheless a perfectly good complement to the thrusty turbo engine. Transmission score: B+.

c) The handling seems very good, though I was on a short test drive on a crowded route with rabid pre-Xmas shoppers everywhere. Making a 90 degree right turn in second gear (stick shift), the little Audi hugged the road tenaciously. Handling score: B

d) Externally, the A3 is a five-door hatchback, and there's no disguising it or trying to design around it. I've never had a hatchback, but wouldn't mind it at all except for concerns about undue squeaks and rattles. The A3 is small and looks small, but it has a sporty stance. I concur with another poster here who noted that the gaping-mouth grill looks good on the A3. The base wheels are really more attractive than those that come with either the premium or sport packages (they're less fussy). Overall, the look is not the A3's strong suit, but it's certainly not its Achille's heel (more on that in a second, but here's a hint: it rhymes with "nice"). Exterior design score: B-

e) The interior definitely reflects a car with a base price in the mid-$20s. It's well put together, but decidedly spartan. I don't mind that--the glare from the glossy wood in my BMW is annoying--and it's true that Audi uses quality materials and puts them together nicely. The A3 is certainly not voluminous, but it's not cramped either (though my right knee banged into the console more than I like). The plastic-wrapped shifter and steering wheel in the base model are abysmal; leather would be a requirement to have this car. I don't understand why automakers don't just make moonroofs (glass panels--as opposed to painted metal, which = a sunroof) anymore. The A3 has an enormous two-panel moonroof called "Open Sky" or some such inane, focus-group-tested name. Basically it's a regular moonroof over the front seats with a fixed glass panel over the rear seats. A sort of mesh-like sun blocker panel is available for both panels. It's fine, but since it doesn't really open that big (a la the small Cadillac SUV or the BMW X3), I fail to see the point. Otherwise, the ergonomics are fine--nothing special, but certainly nothing bad either.

I agree with other posts re: the A3 that some of the ergonomics are just dumb, notably the parking brake that bangs into the bottom of the console glovebox/armrest. Even GM gets this stuff right these days. I didn't drive with a drink but the cupholder complaints are a little distressing.

Interior design score: B-

f) In a refreshing change from other European manufacturers, Audi doesn't skewer customers on option packages. You either get Sport or Premium--each comes with leather, Homelink, power seats, etc. With BMW, you have to get both premium and sport to get leather and nice wheels--an annoying ripoff. Audi DOES require a costly cold-weather package just to get heated seats.

I went in thinking I'd hate the A3. I was pleasantly surprised by its fun, engaging, and tenacious personality--especially since I've always thought Audis to be overpriced, underpowered, lackluster wannabes. I hate the TT, found the last-gen A6 to be achingly slow, and thought the now-defunct All-Road was one of the ugliest cars I'd ever seen. All in all, I love the A3. I would seriously consider leasing it next spring.

Uh oh...leasing.

The salesman told me that the lease deals are atrocious, and that he can't get people to lease A3s as a result. Ok, I give him props for honesty, though I wouldn't hire him to sell something for me. He did some checking and wouldn't even write down the numbers b/c he was literally ashamed. Basically, the monthly payment is LOWER on a 60-month purchase than on a 36-month lease.

He thinks Audi will offer some major incentives starting in January 2006 to move the clearly slow-selling A3 (have you ever seen one on the road??). I was shocked that Audi has offered a $350/month note on a 24-month lease (yes, 24 months!) on the A4. I drove an A4 today as well and while it feels more substantial than the A3, it's nowhere near as fun.