Sorry it's not an m3... I'd been looking around for ages for a well priced E36 M3 as I love the look of these cars!! But for me they are going for twice my budget. Still wanting something RWD with reasonable power the next best option was a 328i. I kept a look out for a smart one but everything seemed to be pretty beaten up, rusty or very expensive. I was checking eBay back in November and a very tidy little 318is came up for sale with low mileage and in great condition will Hellrot red which was a colour I've always loved on the E36! I fell in love straight away even though it had the smaller engine and a Automatic box... My plans for the car after picking it up was to convert it to the spec I wanted. Sorry to all the purists out there that this might annoy as I will be changing the car! I wanted to keep it original to BMW parts and I've always tried to keep my cars looking 'OEM+' sort of all in keeping with the original look and period. where possible but adding things that will freshen up the car and make it great to drive! My first purchase was this; a purple tag steering rack to bring the steering speed up to something a little more modern and responsive. It was then onto the engine and gearbox. My immediate thought was to do the tried and tested 328i conversion. However I ran into the same dilemma I had with the cars, all the 328i engines I could find were either high mileage, ex-drift with cut looms etc etc or just expensive, even donor rusty 328's were expensive to me! I decided to just watch the market and in the meantime I bought a M3 3.0ltr rear diff form a guy on here Parsley. After owning a e46 330ci its just the one thing that's missing in a non-M. I also bought the propshaft as I didn't want to be messing around changing the input flange after a lot of reading it seemed a little advanced for me and I didn't want to ruin it. After a couple of months nothing was really coming up but I noticed E46 330ci prices were lower than E36's and I'd stumbled across a wiring loom adaptor for converting the M54B30 from the 330ci to the E36 loom. Mechanically the engine fits perfectly. It comes with a great ZF gearbox which mates right to the propshaft. I'd just need to mount and wire up the Fly by Wire throttle. EASY? So I bought a little rusty E46 330ci!! Mechanically sound and also comes with a nice brake upgrade! So far Progress wise I'm at the point where I've removed my M44B19 engine and automatic gearbox! Nice chap in the compact cup bought the engine as a spare as they use them! Will be pulling the 330ci apart at the end of the month! Future plans will be to upgrade the wheels to 17" Style 24's Bilstein B12 kit E36 328i exhaust, engine mounts and shifter Clutch pedal! E34 Brake master cylinder machined down (E36 M3 MC for cheap!) Drive it! Sorry if that was long-winded and erroneous Writing things like this isn't my strong point but I've read so many good progress threads I fancied doing one myself!