The Navigator was redesigned under the U326 application code title, with new styling and mechanical attributes for 2007. Revealed in the Chicago Auto-show in February 2006, the Navigator showcased its most distinctive styling upgrade since its launch with new front and rear fascias and side cladding. Within the front was a big, top chrome grille resembling those of classic Lincolns like the 1961 Continental, an allnew, more complicated headlight design, less chrome grille with integral foglights, plus an even more notable "power dome" hood. The distinctiveness of the Navigator's outside followed into the inside, highlighted by an allnew dash and instrument panel. These regions saw an extensive utilization of rectangular forms, for example inside the gauges, along with greater utilization of real-wood and satin nickel accents.

Accompanying the Navigator's redesign for 2007 was a different version, the Navigator L created under the U418 application code title. Similar to the Cadillac Escalade ESV, the Navigator L is 14.7 inches (370 mm) longer compared to the conventional Navigator on the 12inch (300 mm) longer wheelbase, raising its freight capacity. The Navigator L was launched parallel to the Expedition EL, an extended variant of the Ford Expedition. When compared with the Navigator's preceding platform, the fresh system offers higher rigidity for improved driving dynamics. The independent rear suspension is replaced with a fresh fivelink IRS design to help improve handling and ride quality. The Navigator continued to include standard 18inch alloy wheels but both 20- and 22inch wheels are now accessible. Despite this, thanks for their improved framework, the Navigator's towing capacity increased for 2007, approaching 9,000 pound (4,100 kg) in twowheel drive versions.[13]

Since because the Expedition the 2007 version re-design, the Navigator no longer uses exactly the same transfer case. Navigator fourwheel drives are demoted to a lightduty onespeed single range transfer-case which lacks low range gearing.

For 2008, packaging for the Navigator's luxury and comfort functions was simplified, causing the removal of the recurrent Luxury and Ultimate trim levels along with the standardization of the variety of characteristics which were formerly optional. Some of those just normal features contained heated and cooled front seats, powerfolding third-row seats, a power liftgate, and 600Watt 14speaker THX IICertified audio system.

For 2009, the Navigator's 5.4 L V8 gained 10-hp (7.5 kW) along with flexfuel capacity. The rearview camera which was new for 2008 was now conventional, as were heated Front Park Assist, second-row seats, a capless fuel-filler, rainsensing windshield wipers, and Lincoln SYNC.
For as standard on all trims 2011, both Navigator along with the Navigator L attribute Sirius TravelLink, HD Radio, and Lincoln SYNC.
The Navigator L became a matter of argument in February 2011 when Kwame Brown, an associate of the Washington, D.C. town council, was investigated by the Washington Post for buying two 2011 Lincoln Navigator Ls with taxpayer funds, both fully-loaded with features.