This vehicle allows a person to drive to an airport, take off, fly, land and drive to a destination.
The Personal Air and Land Vehicle has proved that it can fly 315 miles at an altitude of 4,000 feet.
PAL-Vs could be the future of personal transportation.
They're expected to go on sale in 2014 at a cost of $330,000 to $400,000 each.
Is it a flying car or a driving aircraft? Either way, the Personal Air and Land Vehicle, or PAL-V for short, has just proved it can handle the skies as well as the highway, both at up to 180 kilometers (112 miles) per hour, its Dutch developers said Tuesday.
The PAL-V is a gyrocopter that can fly as far as 315 miles (500 kilometers) at an altitude of up to 4,000 feet (1,200 meters).
When it lands, it tucks away its rotor-blades and turns into a road-legal three-wheeled vehicle with a range of 756 miles (1,200 kilometers).
"In future, you will be able to drive from home to the airport, take off, land and then drive to your destination in one go," said Robert Dingemanse, chief executive of the company, also called PAL-V.