Like I said, I'm still on the fence about getting a new engine. In some ways that's the easy solution, but most of the ones I've seen listed lately have as many miles as mine; I'm wary of trading one set of problems for another. If I could find an engine with 100k to 140k for under $600, I'd be very interested. But how do I know that a 100k mile engine hasn't been thrashed harder than mine? Having a "spare" and rebuilding it in my spare time (ha!) is sort of appealing, but I don't really have space in my garage for the stuff that's in there, now.
It does seem like the timing components on the M42 are a failure point. It's not that hard to get in there (once you know what you're doing *ahem*) but the parts are pricey. Still, replacing the tensioner every 50k for $50 isn't bad, and requires no disassembly. No idea if not having to replace the other stuff until, say, 150k offsets the three belt changes you'd have to do on a non-chain engine, tho.
It's probably my lack of experience with E30s in general, but going from my '87 325is LeMon car and another '88 315is I test drove to this '91 M42 was night and day. The M42 is so quick-revving that it really make it a ton of fun. It even sounds good (although that could have been the impending chain failure…).