I've been putting off replacing my steering rack for the better part of 6 months now. I am approaching 160K miles and I think it's time for a replacement (steering is getting sloppy -- very much so).

Can E46 328i take a Z3/Z4 rack? What are my options? Thanks guys.

Have you freshened all of the other parts of the suspension (shocks, control arms, tie rods, etc)? If those parts are worn a replacement rack won't help much, if at all.