As for reliability, I have 8,000 trouble free miles. I did have my tailshaft replaced under the TSB (ah, so smooth now) and did an oil change/tire rotation at 5,000 miles. Other than that routine maintenance (and the need to replace a tire pressure monitor broken by a tech during the snow tire change-over - argh to the tune of $160!), the LC200 is as reliable as a GE toaster. Whoever said the LC200 has reliability problems is either (a) uninformed/misinformed or (b) has some kind of axe to grind against the LC200.
As for using it as a MB (Mommy-Buggy) if the kids are too small to climb in and strap on their own seat belts, I think the LC200 will prove to be a chore. Which, may be a plus if you are trying to have your wife get frustrated with the LC200 quickly so that you can get your mitts on it to do a build!
For my family - which is basically 5 adult size people - the LC200 serves well as we always have a spare person or two in tow. This beast tows my 8,000lb boat witout a sweat (I still wish it had a transmission temp gauge in the LCD display mode like my old Suburban) and handles the frozen mud/muck chuck-hole-pocked horse lanes where I live. Fully loaded with passengers, cargo space is stingier than the old 'burban, but one or two aerodynamic Thule racks on top will solve that problem (but this will keep me out of my garage due to overall vehicle height with the racks).
As for fuel economy - or lack thereof - I am getting about 14.5MPG in city driving and can coax about 17.5MPG out of her on an extended highway trip. This is still better than my old 6.2L Denali XL by a smidge. One slightly frustrating thing is that the cruising range calculator on my LC200 is very conservative. Fuel capacity is 24.6US gallons but when my cruising range indicator drops to about 20 miles I can barely get 19 gallons in. I guess the engineers wanted to leave a margin of safety in the program for off-roaders, but an approximate 60 mile vairance is a bit much in my opinion. This is among the most minor of gripes, just a peeve. The other peeve is the fuel filler door lever. Why not dispense with the lever and have the fuel filler door lock with the central locks. Again, this is super minor.