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Budget Bentley: 2004 Volkswagen Phaeton W12

Budget Bentley: 2004 Volkswagen Phaeton W12

Published May 18, 2019 by Carter

Walk into a Volkswagen dealership in the early 2000s, and it was clear that the brand had taken the people’s car upmarket. The Mk.4 Golf/Jetta looked decidedly more modern than the Mk.3 holdovers from 1998. The 2001 introduction of the B5.5 Passat splashed chrome, leather and wood all over the mid-range sedans and wagons and offered exotic-sounding performance from the wild optional W8. But it was this car that really signaled VW was operating on a different plane; not only did they bring over the D1 platform Phaeton, but with it they brought the monstrous 6.0 W12.

While to many the Phaeton looked like a reskin of the D3 Audi A8 and indeed the two did share some componentry, the D1 platform was actually shared with VAG’s other subsidiary Bentley. Both the Continental GT and later Flying Spur shared the infrastructure, meaning the Phaeton enjoyed extreme levels of refinement, ride quality and fit/finish that weren’t typically associated with “the people’s car”. While all the luxury added up to north of 5,000 lbs without passengers and it lacked the twin turbochargers the Bentley boys got, the Phaeton W12 was still the fastest car in the VW showroom in 2004. With 420 horsepower driving all four wheels, the Phaeton was capable of effortless and nearly silent 5.5 second 0-60 runs and could break 200 mph unrestricted.

While it sounds great, there were two drawbacks. One was that to nearly everyone your Phaeton looked just like my Passat. And while a loaded W8 4 Motion Variant Passat was really, really expensive, you and your significant other could drive out of your local dealer with not one, but TWO fully loaded Passats for the price of just one W12 Phaeton. It’s no surprise that the U.S. market wasn’t ready for a $90,000 Volkswagen, and a scant 482 were sold here before the model was yanked. But today, that means you can get these market-busting models for pennies on the dollar:

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2004 Volkswagen Phaeton

2004 Volkswagen Phaeton

Published October 9, 2017 by Carter

The Phaeton is a very perplexing car. It was established as a plan to produce a no-expense spared, world-beating luxury car – and, in many ways at the time, it was world beating. It offered similar luxury and performance to the established German standards – Mercedes-Benz’s S-Class and BMW’s 7-series, but also challenged stable-mate Audi’s A8. Yet it was available on a more Volkswagen budget – at least, in theory. That’s because if you walked into a Volkswagen dealer in the mid 2000s and wanted a basically optioned model, you’d be out about $75,000. For reference, that’s about three times what my expensive-for-the-category Passat cost in 2002. And the big problem with that was how the Phaeton looked, because a bulk of the population wouldn’t be able to tell the two apart.

But that wasn’t the point about the Phaeton. Nor was it that you could get the lighter, aluminum version of what appeared to be the same car from more upscale Audi that would arguably attract much more attention for not much more money. And it was this exact confusion that befuddled the market; why would you ever pay $75,000 for a Volkswagen? The trick came in realizing what you were getting, which actually shared little architecture with the Audi corporate partner. Park a Phaeton next to an A8 and you’d swear they were just about the same car with light badging changes, but you couldn’t be more wrong.

Although the model shared components with the D3 A8, it also shared much more architecture with other side of VAG’s portfolio – the Bentley Flying Spur and Continental. This meant a steel chassis rather than the aluminum space frame, and that meant more weight – a lot more weight. To mitigate this, Volkswagen upped the power slightly over the A8’s V8 to 335 and dropped its axle ratio to 3.65:1. The result was that the BGH equipped 4.2 liter V8 Phaeton could run with the A8 in a straight line – just. To outdo the Audi, then, Volkswagen had to up the luxury quotient in the Phaeton, and they did. Inside of these cars is a simply amazing place to be, with double-laminated glass, hectares of wood and enough leather to make a Village People audience envious. There were heated, cooled and massaging seats, navigation systems, 420 watt stereos and disappearing cabin vents. Shut the door and they’re quiet – eerily, disturbingly quiet, in a “Uh-oh, what broke?” kind of way if you’re used to the People’s Car. Remove the VW badge from the steering wheel, and you could easily be fooled into thinking you were in a Rolls Royce from the period.

But not everyone was convinced, and as a result they sold slowly in the United States. Volkswagen offered boutique colors and wheels to help set the Phaeton apart from the rest of the VW run, but it was only really in Germany that the appeal of the understated Wundercar ever sold in number. Only a few thousand were brought into the United States, this 2004 being one of the claimed 1,433 to make it the first year:

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