Update 10/18/19: This super supercharged 540iT sold for $11,100. Deal!
BMW’s continual refusal to bring the most powerful form of its its Touring/Sports Wagon historical lineup has been, as a 5-door enthusiast, pretty frustrating. That’s left Audi in the 2000s and Mercedes-Benz more recently to thoroughly dominate fast 5-doors, with the brief Cadillac interloper. But just because you couldn’t get an M5 Touring over here didn’t mean you couldn’t at least get M performance.
For that, though, you had to turn to fabled California tuner Dinan. No stranger on these pages, Dinan’s well-thought mods and clean execution earned his company a place in the revered showrooms of new BMWs. Cheap? Certainly not. Just the supercharger alone on this particular 540i was $16,000. But you get what you pay for, and the result when Dinan blew on the M62 was a claimed 400 horsepower. So this 540iT has the chops to back up its M5 looks:
Back in November of 2017, I looked at an early special-order 540i Sport Package. It ticked many of the right boxes; while the later cars gained the shouty M5 exterior bits, the early cars are understated in a nice way, yet still potent. I’ve especially always been a fan of the Style 19 BBS wheels on the early Sport cars, but the follow up wasn’t bad, either. The turbine Style 32s mimicked Alpina’s signature style, but looked right at home and as if they were always intended for the E39.
But this car has some other items going for it that the first didn’t. While both are M62/TU 6-speeds and carried the M-Sport suspension, this one also has the M-Sport steering wheel and sport seats. The downside?
Back to wagons!
Today’s example is another fan-favorite model, of which it seems surprisingly hard to find a great example. The E39 continued and expanded the 5-series wagon’s popularity by bringing bigger wheels, more power and updated looks to the mid-range Audi-challenger. Like the first generation, these were only available in rear-wheel drive in the U.S., so matching the all-wheel drive variants available from…well, everyone else, required a very good looking and potent package. BMW pulled that off, with the Sport versions of both the 528i and 540i Tourings thoroughly encapsulating the ethos of the great Euro wagons.
But there was a catch.
If you wanted a manual gearbox, you had to select the lower output 528i model. For all its shouty V8-ness, the 282 horsepower 4.4 liter M62-equipped 540i only came with BMW’s Steptronic if you needed to haul ass and a family. Of course, that hasn’t stopped a few enterprising individuals from combining the manual from the sedan with the more desirable wagon:
My recent M5 v. Alpina B10 post took a look at two exotic versions of the E34. Of course, BMW offered their own alternative to the M5 late in the production cycle, as the introduction of the M60 V8-powered 540i produced nearly as much usable power as the more expensive M variant. Such was the success of the 540i that BMW initially judged the M5 dead in this market; it was removed from the U.S. in 1993 after slow sales and wouldn’t return until the new millennium.
As a result, the 540i flew the 5-series performance flag for two generations and still is very popular today. Especially in Sport versions, the E34 and E39 540is offered power, refinement and outstanding chassis dynamics in a package that was attainable for more people. So which is the better buy today – the first or second generation?