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Yes, it's smaller (cargo) than the current 3 series wagon. But the car is built on the same platform as the prior 3 series. It's the cargo area that suffers by this design... not anything else. If you look at the specs, the wheelbase, etc, is identical to the prior 3 series.
The "tall" feature is why I bought it. My aging back doesn't like sitting "on the floor" with my legs straight out. The few inches we have in the X1 gives me enough height to keep the back happy... yet it's smaller than a X3 - a good thing for my purposes.
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