I've come across a too good to be true 1994 325is for cheap ($800). Will the 323i OD gearbox bolt up to the m54 motor just like it would bolt up to an m20?

Anyone know anything about this? I've heard that an m20 and an m54 are almost interchangable - same mounts & they fit in the same space...

ummm are you talking about the m50? m54 came in the e46 not the e36

sorry. M5? that came in a 1994 325is. Don't want to sound like an idiot but I've only owned two e30's. Everything else has been 2002, e21 or Mercedes diesel. All I know is that it's a 2.5L 24v that supposedly the block is almost 100% interchangable with an m20 block.

Yeah, the 94 325is came with a M50. I'm not sure if the 323i OD gearbox will fit. It makes sense that it might... the Getrag 260 from the E30 will bolt up to the M50.

bolts up, gearbox is offset by a bit though because of the difference in tilt. It all lines up though, however an M5x swap isnt as simple as dropping it in. The mounts arent the same and the motor is physically bigger, so its not a simple swap to do if thats what you are thinking.