Though I’m a big fan of small hatchbacks, I never particularly liked the Toyota Matrix. Its tall styling is just so darn..well..awkward! Yet, if anyone asks me which compact hatchback I’d recommend, the Matrix is always at or near the top of my list. From the point of view of reliability, interior roominess, fuel economy, and resale value, the Matrix is superior to just about everything else in its class.

It’s simply a matter of checking the boxes. Reliability? It’s built at the award-winning Cambridge, Ontario plant and is based on that perennial yardstick of reliability, the Corolla. Interior space? There’s plenty of room for four tall adults and it has one of the biggest cargo compartments in its class. Fuel consumption? Up to 6.4 l/100 km (44 mpg) on the highway equipped with the base engine and automatic transmission. Resale value? Above-average. Reputation? Say no more.

It’s not a powerhouse, and it’s a tad noisy. The standard 130 horsepower 1.8 litre four cylinder engine isn’t the most powerful engine in its class, but its perfectly fine for typical urban and commuting duties – and you can’t overlook its great fuel economy, especially nowadays.

Unlike most hatches, the Matrix is available with an ‘automatic’ all-wheel-drive system (operates in front-wheel-drive until a viscous coupling senses slip and transfers torque to rear wheels) – a useful option for Canadian winters.

Here’s another point in its favour: while many hot hatches are only offered in uplevel trim, the Matrix can be ordered in a base version for under $17,000. Even the nicely equipped Matrix XR, this week’s test car, starts at under $22,000. And the top of the line Matrix XRS, with the 170 horsepower 1.8 litre engine, is under $25,000.

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Inside, there’s a more substantial, better-looking seat material, and minor changes to the dash. In the centre console, a new digital clock is found at the top of the centre stack, and the radio has been completely redesigned with larger buttons, a larger LCD screen and generally cleaner appearance. Dual-stage front airbags, front passenger airbag indicator, sliding visors, UV window glass, and engine immobilizer, are also new. But what happened to the unique 115 volt outlet that the original Matrix offered? And why aren’t side airbags available?

Base and XR front-wheel-drive models have standard front disc/rear drum brakes but only the XR is available with optional ABS – can somebody tell me why? All-wheel-drive models have standard ABS, and XRS models get standard four-wheel discs with ABS and EBD (electronic brake differential).

For $21,285, the Matrix XR adds air conditioning, variable intermittent wipers, power windows, door locks and mirrors, keyless remote, leather wrapped steering wheel, cruise control, body-coloured mirrors, door handles and side skirts. My test car had the optional 4-speed automatic transmission ($1,045), and the “B” option package which includes P215/50R-17 all season tires and alloy wheels, tire pressure monitor, ABS, power moonroof and fog lamps ($2,100). Total price as tested with Freight and A/C tax came to $25,440.

An option that’s missing is side airbags. They’re available in the U.S., but not here.

The 170 horsepower Matrix XRS ($25,560) includes a 6 speed manual transmission, 17 inch tires and wheels, four disc brakes with ABS and EBD, full skirt package, power moonroof, fog lamps, tire pressure monitor, 6 disc CD changer with six speakers, and leather-wrapped shift knob.

The transmission lever is positioned higher than in most cars – almost a part of the dash – which makes it easy to grip. Outward visibility is excellent, even though the window ledges are high, particularly on the rear side windows. Only the wiper motor at the rear presents any obstacle to rearview vision. The XR has a variable intermittent wiper on the rear window, and I can tell you from experience, that you will need it in winter.

The 1.8 litre engine revs easily and is responsive on take-off, while the optional 4-speed automatic is really very smooth considering it’s a small engine. However, I found it reluctant to shift down when the accelerator is floored. The engine is buzzy on acceleration, but comfortable on the highway. With a full load of passengers and cargo, you’ll find it straining going up long hills. 0 to 60 with the automatic transmission and one person on board takes about 11 seconds.

Even with the optional automatic transmission, fuel economy is good: 8.3 l/100 km (34 mpg) in the city and 6.4 l/100 km (44 mpg) on the highway (Imperial gallons).

Standard power-assisted rack and pinion steering is accurate and lightweight, and a small turning circle of 10.8 metres (35.4 ft.) will encourage you to make U-turns. Braking is responsive – the XR automatic weighs only 1254 kg (2765 lb.) – but I urge you to spring for the optional anti-lock brakes.

Front MacPherson struts and rear torsion beam soak up the bumps well and provide a comfortable ride, but as you might expect, there is some lean. The optional Bridgestone Potenza 215/50R-17 inch radials make a noticeable difference in grip.

Both front and rear seats have plenty of headroom and legroom for four, but the rear seat is not quite wide enough for three adults.

The interior has lots of useful storage spaces: a dual level storage bin between the front seats with an interior powerpoint for charging phones while keeping them out of site; a covered area in the centre dash; a flip-down bin beside the door; and a couple of open containers around the cupholders.

The cargo floor and the back of the 60/40 split folding rear seatbacks feature a hard plastic surface with built-in sliding floor tracks. The only disadvantage is that loose objects tend to slide around on the slippery surface. An optional mat can take care of that. There are eight cargo hooks in the cargo area and two covered storage bins at the sides of the cargo compartment. As well, there’s additional storage under the floor.

The rear hatch is easy to open and creates an opening 30 inches tall by 39 inches wide. Besides the easy-to-lift rear hatch, the Matrix has a separate opening rear window – a rarity in this class. This is useful for loading light objects, or for transporting long poles or other objects that stick out the back window.