Best arcade racers ever, easily:
Project Gotham Racing 2 and 4.
Arcade yet you can really feel sim "elements." Every car is very different from the other. The way you use trailbraking, throttle control, wheel spin to straighten out the car on exit (something even a lot of hardcore sims suck at since they freak out and act all mental and unrealistic during wheelspin), the weight and weight transfer, the inertia (for the most part), everything. The way you had to drive the car to be fast and get good lap times. Using the curbs. Managing grip. It's soooo good. And in PGR4 where they added different levels of wetness versions of tracks, it was again phenomenal for an arcade racer. Not to mention the sounds in part 4 which still blow away mostly all racing videogames.
As close to perfect balancing of arcade and simulation elements of any videogame in history in my opinion. In fact, I honestly don't think nothing comes close. I literally can't handle playing any non-sim game for more than 10 minutes and I've tried almost all. PGR 2 and 4 I enjoyably played for years.
PGR 2 and 4 are easily the best gamepad racing games of all time for any one who doesn't like arcade racers and gamepads and usually only plays sims and with a wheel.