M42 Five-Speed Swap: 1976 BMW 2002

For the vast majority of my childhood, my focus in the collector automotive scene was classic American cars, specifically muscle cars. When I discovered bringatrailer.com and barnfinds.com however, my automotive horizon broadened. One of the cars I've grown to like is BMW's 2002, which has a beautiful look about it. This BMW 2002 is a 1976 model, and features a M42/five-speed swap. Find it here on Craigslist in Atlanta, Georgia, with an asking price of $4,800.

Built from 1968 to 1976, the BMW 2002 was BMW's compact car that was built up for the road and track. After 1976, the 2002 gave way to the legendary (and still being produced) 3-Series. This BMW is a 1976 model, and is one of 275,022 cars built for 1976. Taking a look over the outside of this car, the fitting of the doors is slightly off, and there is rust on the rear wheelwells, driver's-side windshield pillar, and the rocker panels. Turn signals are inoperable, and the windshield wiper arms are currently not mounted Porsche mirrors are cool, as are the front MK1 GTI spoiler and rear Euroworks spoiler, the 2002 hood graphics,  and the 14-inch Alpina wheels; unfortunately, the Alpina wheels are not included, but 14-inch E21 wheels with three E30 bottle caps are included. I would sell the E21 wheels and E30 caps, fix the rusted areas, strip the car down to a bare shell, paint the car in Inka Orange, redo the back bumper, source a new set of Alpina wheels, and apply a new set of 2002 hood graphics.

Though originally powered by a 2.0L M10 four-cylinder rated at 98 horsepower and 106 lb-ft of torque, this 2002 is currently fitted with a M42 twin-cam four-cylinder from a E36 318i. Rated at 138 horsepower and 129 lb-ft of torque, the M42 increases horsepower by 40 and torque by 23 ft-lbs. Backed by a Getrag 250 five-speed from a E36 and sent through a an LSD from an E21, there is a driveline buzz with no load in the fifth gear, and there is a vibration while the car brakes. Suspension mods include cut springs, KYB gas shocks, and E36 sway bars. I would fix the driveline, address the vibration, build up the M42, and take this car to the local autocross or asphalt track for some thrashing.

Much like the exterior of the car, the interior on this 2002 is very rough and in need of attention. There's no carpet on the floor, one of the floor pans needs to be replaced, the door panels are shot, the dash is cracked, the door locks need to be fixed, and remnants of a roll cage that has since been removed are still left over. Seats are from a Honda Prelude, the gauges are from Legacy, a noisy fuel pump is mounted behind the seats, and a kill-switch is mounted under the dash. The aftermarket steering wheel looks cool with the BMW horn button, as are the Legacy gauges and manual floor shift. I would relocate the fuel pump, take out the rest of the roll cage, swap the Prelude seats for a set of E21 Recaro seats, source a 2002 center console, two 2002 door panels, a new dash pad, splice in a new and cleaner-looking kill-switch, and source install a new carpet. Though a bit rough, this BMW 2002 has a lot of potential to be a cool looking car, and considering the seller has already dropped the car from $6,800 to $4,800, there's probably still some wiggle-room left in the price. What are your thoughts on this rough BMW 2002?