After its stunning debut at the 1990 Paris Motor Show, the Mercedes-Benz 500 E hit the market in the spring of 1991. This model masterfully blended the luxurious comfort of a touring sedan with the exhilarating performance of a sports car. Celebrating its 30th anniversary and its established status as a classic, the Porsche Museum dispatched two key figures from its development team on a journey to explore the captivating story of its creation.
Michael Hölscher, the Project Manager for Development, and Michael Mönig, from Prototype Management, hadn’t been behind the wheel of the Mercedes-Benz 500 E in nearly three decades. Today, their journey spans 100 kilometers, encompassing Zuffenhausen, Weissach, and Sindelfingen. Their route begins and ends at the Porsche Museum, where the 500 E awaits, its Sapphire Black Metallic (color code 009) exterior reflecting in the museum’s mirrored ceiling. Inside, the car features a sophisticated blend of leather, wood trim, vibrant door panels, electrically adjustable sports seats, and a classic cassette radio.
“Looking at this Mercedes-Benz 500 E today, it’s almost unbelievable that such a perfect design was achieved 30 years ago without CAD data. My respect for the body shop colleagues and their vision is immense,” remarks Hölscher, admiring the sedan like a long-lost friend. Both men examine the car closely, marveling at the pronounced fenders – a distinctive feature that sets the 500 E apart from the standard 124 series models. These widened fenders are a key design element of the Mercedes Benz 500 E, hinting at the powerful performance within.
In 1988, Daimler-Benz AG commissioned Porsche AG for the development contract in Untertürkheim, Stuttgart. The technical specifications outlined the “design and experimental series development of the base type W124.” The core requirement was to equip the vehicle with the potent five-liter V8 four-valve engine from the 500 SL. By April 1995, a total of 10,479 units of the Mercedes-Benz 500 E were produced. Notably, all models were strictly four-seaters due to the substantial size of the differential, which left no room for seat suspension in the center of the rear bench. This design choice underscores the performance-focused engineering of the 500 E Mercedes Benz.
A Superior Touring Experience
The Mercedes-Benz 500 E holds a special place in the memories of both men. “Thirty years ago, I drove to Lake Constance with three colleagues in the 500 E. We were talking the entire time, and at one point, a colleague glanced at the speedometer and was shocked to see we were doing 250 km/h. The chassis, brakes, and engine were tuned so perfectly that a superb driving experience was guaranteed,” Hölscher recalls. Brake performance was a significant topic during development. The team decided to use more robust brakes than the standard W124 to ensure optimal braking balance for the high-performance Mercedes 500 E.
Equipped with a standard four-speed automatic gearbox, the 500 E Mercedes, depending on the model year, could accelerate from 0 to 100 km/h in a mere 6.1 seconds, boasting 326 PS (240 kW) and a peak torque of 480 newton meters. Its top speed was electronically limited to 250 km/h. “It offered immense power without being showy—dynamic and luxurious simultaneously. The Mercedes Benz 500 E is understated; its appeal is revealed upon closer inspection,” Mönig describes the series’ flagship model. He and Hölscher then headed to their next stop: the former Reutter building, located just a short distance from the Porsche Museum.
The Reutter Building: Assembly Line Origins
“This order was crucial for us, ensuring optimal capacity utilization in Zuffenhausen and Weissach,” Hölscher remembers, leaning against the brick wall of the former Reutter building. Starting in 1990, the bodies of the Mercedes-Benz 500 E were assembled in this very building, within Werk 2 in Zuffenhausen. The Reutter building, vacant at the time, provided ample space for the dedicated assembly line required for the 500 E production.
The production process was meticulously planned. Mercedes-Benz supplied body parts from Sindelfingen to Zuffenhausen. At Werk 2, Porsche’s team assembled the body using these components along with in-house manufactured parts, such as the distinctive front fenders. The assembled bodies were then transported back to Sindelfingen for painting. Following this, the vehicles returned to the Rössle Bau in Zuffenhausen for final assembly and engine installation. Each Mercedes-Benz 500 E underwent an 18-day production cycle and traveled between Zuffenhausen and Sindelfingen twice. “Logistically, managing the back-and-forth transport of parts was a significant undertaking. Ensuring parts arrived at the right place at the right time was essential,” Hölscher explains. This complex process highlights the unique collaboration in the Mercedes 500E project.
Project Launch Amidst Financial Strain
The collaboration between these Stuttgart-based automotive giants occurred during a critical period. Porsche was facing financial headwinds due to declining export revenues, reduced production, and concerning key performance indicators. “One key lesson from the Mercedes-Benz 500 E project during those tough times was to embrace every challenge. Projects like this allowed us to retain our team,” recalls Hölscher, who was with Porsche from 1982 until his retirement in 2016. Initially, production started at ten vehicles per day, but strong demand quickly led to an increase to 20 vehicles daily. “Here we are at counting point 0, the birthplace of the 500 E,” Mönig states. The installation of the chassis, gearbox, and engine—known as the “marriage”—occurred at point 4, while point 8 marked delivery.
Witnessing the Mercedes-Benz 500 E enter series production was a career highlight for both men. Returning to the former Reutter building evokes strong memories. Hölscher reflects, “The 500 E was the first project I oversaw that achieved series production. Three decades later, it feels like I’m watching them roll off the line again.” He also fondly remembers the autonomy his team enjoyed during the project. Beyond their shared passion for cars and motorcycles, what bonds him and Mönig? “We met through the 500 E project and collaborated on several subsequent projects. It was a significant and important part of my professional life,” Hölscher concludes.
Astonishing Performance and Design Philosophy
In the late 1980s, Daimler-Benz AG contracted Porsche as a development service provider because their own production line for the 124 series in Sindelfingen was inadequate for the 500 E‘s wider body. Later rebranded as the E 500 as part of a model update, the Mercedes-Benz 500 E‘s broader stance meant it couldn’t be produced on the standard line. Modifying the existing equipment was deemed uneconomical. The intention was for the 500 E to initially resemble a standard W124 but to set unprecedented benchmarks in performance—a high-performance sedan unlike any seen before, appealing to discerning enthusiasts. It was 56 millimeters wider and 23 mm lower than the base vehicle. Within Porsche, the Mercedes Benz 500 E was internally known as “Project 2758”.
Mönig, who has been with Porsche for over 35 years and was responsible for building the 500 E prototype, takes the driver’s seat, after hearing Hölscher’s driving impressions: “Even today, 30 years later, the Mercedes-Benz 500 E is still impressive. Its handling is superb, the acceleration is excellent, the brakes are outstanding, and the dynamic character makes it a joy to drive. I particularly appreciate the refined and understated sound of the eight-cylinder engine.”
Upon reaching the Weissach Development Center, Hölscher parks in front of the “hexagon,” the former design engineering office and one of the site’s original buildings, marking their third stop. “Being here feels like home,” he says, handing the keys to Mönig for the remainder of their journey in the Mercedes Benz 500 E.
Modified Headlights for Enhanced Air Intake
Weissach was the hub for all development work on the Mercedes-Benz 500 E in the late 1980s. Mönig and his team manually converted the first 14 base vehicles there. From the 15th vehicle onwards, assembly moved to Building 1, the prototype construction building, utilizing newly designed body shell parts and modified series components. The production of these demonstration vehicles was instrumental in Mercedes-Benz’s decision to proceed with series production. “We planned the development of the 500 E here and worked hard to integrate the large engine into the relatively compact vehicle,” Hölscher recounts. To optimize weight distribution, the battery was relocated from the engine compartment to the rear right of the luggage area. The brake and exhaust systems were significantly revised, and the fenders and bumper trim were redesigned. Notably, the eight-cylinder engine drew air through the vents surrounding the two headlights, ensuring ample air supply. Porsche undertook 90 percent of the development, managing virtually all aspects of integrating the drivetrain and vehicle components for the Mercedes 500 E.
The journey continues from Weissach to Sindelfingen, their fourth stop. Mönig, now driving, expresses his enthusiasm. “The acceleration is incredible. I have only positive memories of this vehicle. As a young engineer, I was given significant responsibility. The Mercedes-Benz 500 E was and remains my favorite project,” he affirms. Mönig speaks passionately about the feeling of lightness behind the wheel, the palpable power, and the superior driving dynamics. He and his Prototype Construction colleagues spent numerous weekends in Sindelfingen. Their collective dedication helped overcome delays in the tight project timeline. “The collaboration with the Mercedes-Benz team was respectful, focused, and equitable, driven by a shared desire for success,” he recalls. A particularly memorable moment for him was the first trip to Sindelfingen with his team and a truckload of prototype parts for the Mercedes 500E.
On the return journey to Zuffenhausen, Mönig simply listens to the V8 engine’s rumble with the window slightly open. Later, after parking it in the museum workshop, he will have much more to say about the superior performance that continues to define the Mercedes-Benz 500 E three decades later. For now, he savors the pure driving experience. The Mercedes-Benz 500 E remains a testament to exceptional engineering and the fruitful collaboration between Mercedes-Benz and Porsche, creating a classic that continues to impress.
