If you take away the fact that it won six WRC titles back-to-back, Lancia will be a forgotten brand whose products get bashed around in the tight streets of Rome. But with the support of its parent company Stellantis, the firm is on its way to reviving its fame and fortune. Following the reveal of its Pu+Ra HPE concept, the Italian marque has just unveiled the latest-generation Ypsilon.

Out of Lancia’s product line named after Greek letters, the Ypsilon is the longest-lived for not the most flattering reason. The previous version is just a bunch of recycled Fiat bits, and has soldiered on for far too long just to keep its manufacturer alive and relevant. But even with Lancia under new management, it’s safe to say that a good chunk of the Ypsilon will come from the Stellantis parts bin.

The Ypsilon boasts lines typical of a supermini. However, this is Lancia, so there’s bound to be some kind of fancy design language. In this case, it is a variation of the one applied to the Pu+Ra HPE. The front end has running lights that are supposed to be a modern take on the brand’s chalice-style grille. There is even a bit of history on the Ypsilon with the Stratos-inspired rear lights and the handwritten emblems from the Fulvia.

This car may be built for city streets, but that didn’t stop Lancia from sprucing up the cozy interior. Taking center stage is SALA, or Sound Air Light Augmentation. The name sounds fancy, but it just means that the audio, the air-conditioning, and the interior lighting can be easily adjusted to suit different moods. But the firm also says that SALA describes the car’s living-room ambience as it has heated massaging seats.

The fully electric Ypsilon has a 51kWh battery pack. It can be charged to full capacity in 24 minutes, which will allow the vehicle to do 403km. Output is a modest 154hp, but that should be enough for most city-dwelling users. Owners can also subscribe to Free2move Charge, a service that will assist them with home-charging solutions and give them easy access to public charging facilities.

Because the Ypsilon is the first all-new Lancia product in quite a long while, it was launched as the limited-edition Ypsilon Edizione Limitata Cassina (mamma mia!). It is decked out in a special blue paint job that is apparently the carmaker’s signature color. The interior has a mix of recycled plastics and eco-friendly raw materials. And to top everything off, only 1,906 units will be made—a reference to the year of Lancia’s founding.

More than a sign of Lancia’s new era, the Ypsilon will be a test of the brand’s return to form after many years of hiding in the shadows of the industry. The firm has aspirations of expanding its product line and relaunching certain celebrated nameplates, so the success of its all-new city car will highly likely determine if those plans will come to fruition.