with everything going on, from my father in law dying to the cars I'm doing for friends, to work, I just was not getting around to working on the BMW. It was going to take some dedicated space and time to get the engine swapped in, and it wasn't happening. When my father in law died and we spent a week in CT taking care of his affairs, I re-evaluated what I was doing with the cars and my time, and decided that it would be better to see it go to someone who might actually finish it in a reasonable amount of time. I didn't want to part it out and end up with a shell that was slowly coming apart (and with my luck, someone would have wanted the wheels near the beginning of the process and then the car would be sitting on jackstands in the driveway forever).
Got $2200 for it and the spare engine. Fair price for the car, though in effect I got $700 for the car and market value for the engine. Saturday it left on the back of a flatbed to it's new owner, and a shop that says they can have the swap done in a week.
I miss that car, but as they say, it's time to move on. I may yet get another E38 in a couple years. I really want a SWB Sport model. For now, I'll have fun in the Mustang.