It will great step forward with pixel shading.
I know you used some nasty tricks for dx8 like reflections on the buildings which made with double face meshes, where bottom layer is reflection and top layer is wall with transparent textures on windows. All of this will be in the past with simple color blending in pixel shader.
And this akward per-vertex lighting on the track can be changed to nice looking lightmaps.
This is just small examples with basic things, which can be much more. (came here after 6 years read-only to say this)