The biggest problem for city drivers (I'm in San Francisco) is we only need a car that goes about 45 mph, but we can only buy vehicles (electric or ICE) that are designed for 70-80 mph. They tend to weigh over 3,000 lbs, and a Tesla weighs near 5,000 lbs.
The best we can do right now are "Neighborhood Electric Vehicles", limited in the US to a top speed of only 25mph. Scoot rents one, a Twizy: http://blog.caranddriver.com/in-a-twizy-nissan-renting-elect.... They're fun to drive, but VERY rough and crude.
Perhaps we need a class of lightweight vehicles with a top speed just barely insufficient for freeway use? For pedestrian and bike safety, I'd think we need to keep vehicle mass and velocity as low as practical.