Verdict
Despite some shortcomings the Nikkor AF-S 16-85mm f/3.5-5.6G ED VR DX
is still one of the best standard zooms available for Nikon crop cameras. It is very sharp throughout the range although there could be a little less field curvature (curved focus field) at 16mm. The level of distortion and lateral CAs is comparatively moderate for such a lens (still a bit high in absolute terms).
Vignetting is generally well controlled except at 16mm @ f/3.5. The rather slow max. aperture may be a bit unfortunate because the achievable bokeh is rather underdeveloped in conventional scenes. If you're after a (relatively) shallow depth-of-field you should also stick to the 85mm setting - the bokeh is rather harsh at 50mm.
The VR II (Vibration Reduction) can help to safe the day in low light situations (at cost of shutter speed) with a "gain" of ~3 f-stops in field conditions. The build quality is on a good level but don't expect professional grade quality. Thanks to AF-S the autfocus is quite fast and virtually silent.
All-in-all a very good lens but not flawless.