Announced on October 9 2000, the Series 2 Elise was a redesigned Series 1 using a slightly modified version of the Series 1 chassis and the same K-series engine with a brand new Lotus-developed ECU. The design of the body paid homage to the still-born M250 project and was the first Lotus to be designed on computer. The Series 2 Elise is built on the same production line also created for the Vauxhall VX220/Opel Speedster in a newer facility at Hethel. Both cars shared many parts, including the chassis, although they have totally different drivetrains and powerplants. The Vauxhall / Opel version ceased production in 2004. 2007 Elise Series 2 models at the Lotus Performance Driving School at Spring Mountain Motorsports Ranch.The series 2 was also available as a 111S model, with the VVT engine technology. The 111S models were discontinued in 2005 with the demise of the K-series engines in favour of the Toyota powerplant (see below).

Two more track-focussed models, the 135R and Sport 190 were available with 135bhp and 192bhp respectively. These also came with associated handling upgrades such as Lotus Sport Suspension and wider wheels with Yokohama Advan A048 tyres. In certain markets, the 135R was replaced by the "Sport 111", which was similar, apart from sporting the 156bhp VVC engine in place of the 135bhp tuned K-series.