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2012 BMW X3 Long Term Road Test
Edmunds.com
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All the room you want for the family and dogs and you can still park it in a normal parking space.
A suburban 2500 would be a good option if the used market out in California is a bit on the thin side for Excursions and if you HAVE to have a "New" vehicle.
How often do you expect to run into that usage case? If it's the odd trip a few times a year where the dogs + future child are going out with "stuff", why not look into a roof rack/pod? Then the stuff could ride up top, with the mutts separated from the child. Then the rest of the year your wife gets something that will accept child + dogs and not be any larger than necessary. This is how we get away with having a coupe and a wagon, while our neighbours and friends all have minivans or gargantuan SUVs.
See Dan's example with the CRV.