I bought my 2010 basic Corolla A/T 3 months back and I must say that I am loving it. I was initially considering a Yaris, but the Corolla was just priced well enough for me to switch. I am a city driver and am getting 30mpg average. But when on freeways, staying around 55-60mph gets me over 45mpg easily. The engine gives decent acceleration and the brakes are not touchy, the standard speakers (4) are decent and the dash-board layout is straight-forward, and overall the exterior is respectable.
Low price. I paid $14,700 OTD /w all weather package, rear bumper protector, and carpeted floor mats, and got 0% APR 5yr zero down loan from Toyota. Just for comparison, the new 2011 Elantra would cost me $4k more upfront and at least $2k more in interest (3.95% APR).
Make cruise control and power window/locks standard.