SANT'AGATA, ITALY - At a huge gala event on Monday at its recently expanded factory here, Italian sportscar maker Lamborghini unveiled its long awaited SUV - the Urus - to 700 guests, including the Italian Prime Minister Paolo Gentiloni.

The car - appearing with softer curves than its concept version - is powered by a twin-turbocharged 4-litre V8 engine with 650hp and 850Nm of torque. It hurls to 100kmh in 3.6 seconds, and a top speed of 305kmh. A petrol-electric hybrid version will follow.

The car is expected to arrive in Singapore next year, with a price tag of around $1 million, making it the costliest SUV around.

Lamborghini, which is owned by Volkswagen's Audi, claims the Urus was modeled after the LM002, a military truck-like vehicle made in the 1980s, and turned into civilian transportation, like the American Hummer.

The Urus will seat four, twice as many as any other Lambo today. It has all-wheel-drive, rear-wheel steering, air suspension and sits on 21-inch wheels with an option for 23-inchers.

It is touted to have off-road capabilities, with three additional drive modes called "Terra"(off-road), "Neve"(snow) and "Sabbia"(sand) added to Lambo's usual Strada, Sport and Corsa.

The car, which shares some basic components with the Porsche Cayenne, Audi Q7 and Volkswagen Touareg, represents a new era for the supercar maker as it enters the family car arena.