I had some fear about buying the first year of the LR3. However, with almost 25,000 miles on my truck, it has performed flawlessly (except for the tires, but that's another story). It is wonderful off-road, smooth on-road, stops on a dime, and is fun to drive. It truly does seat 7 adults, and the fold-flat rear seats are very useful. The terrain-response really does work (I've tried it in mud, snow, sand, and on steep, rocky trails). If you are not ever going to off-road, there may be cheaper SUV's, but if you spend any time driving on anything other than dry pavement, it can't be beat!
Wonderful off-road, yet it meets all my family's needs in terms of on-road comfort, safety, and usefulness.
Unless you get the navigation system, it has no compass. Also, the Goodyear tires really aren't that good (and while you can put other tires on it, the choices are somewhat limited).