A three-wheel vehicle includes a single rear drive wheel, which is mounted on a suspension subframe located near the rear of the vehicle and extending between rails of the vehicle's chassis. A transfer is also mounted on the suspension subframe and drivingly interconnects the vehicle drivetrain and the rear wheel. A four-wheel to three-wheel vehicle conversion method includes the steps of removing the differential, rear axles and rear wheels of an original drivetrain and replacing them with a subframe mounting a rear wheel and a transfer. The transfer is connected to the original transmission by a drive shaft. The converted vehicle can be certified and licensed based on less stringent governmental regulations than those applicable to comparable four-wheel vehicles.