I don't know that it makes sense to try to discuss dynamic range and noise as though they're two different things. In fact, dynamic range is literally defined (when speaking of the various tests that are supposed to measure it) in terms of how much noise will be found in the shadows for a given exposure of the highlights. If you have ever looked at any of the dynamic range charts for different sensors out there, this is what they are charting. Thus, saying that a sensor has more dynamic range at a given ISO is extremely similar to saying that the sensor will exhibit less noise at that ISO.
I'm not quite sure what you mean, then, when you say that at ISO 500 you notice an increased dynamic range, because using the standard definitions this is just saying that you see less noise in the shadows at ISO 500.
The thing is that if a given exposure calls for, say, ISO 250 or 320 you can't get to ISO 500 without changing the shutter speed or aperture, and this reduces real light on the sensor and this increases noise substantially. I suppose you could go into manual ISO and keep your SS and F stop where they are and just increase the ISO, but then you are going to lose an awful lot of highlight information.