I previously owned an ARC REF 5 and was FORCED to sell it (still hurts to think about it). I finally saved up for a LS27 and it now has about 215 hours logged on it. I can tell you that it sounds absolutely fantastic and at this point it is almost as good as the REF 5. I have heard the REF 3, and as good as it was, I do not remember liking it as much as I do the LS 27. I have never heard the two side by side, but after enjoying this preamp as much as I have been, I am not even considering a REF 3 as a next step. There is a lot of breaking in to do, but if this is how good it is 1/3 the way to final break in, it goes to show how much ARC has learned from creating their REF 40 masterpiece. Before the switch to ARC I was using McIntosh (C2300 and two MC275's running in mono) and in my humble opinion, the new ARC gear is in another league in almost every area. If you are looking for a new preamp and the LS27 is in your price range - go out and get it.