BMW Shows Off The Only Factory E36 M3 Compact Ever Built

When BMW was getting the E36 3 Series ready, it also wanted to have a smaller version to compete with the hot hatches of the day. Thus, the E36 Compact was born.

The body style was primarily designed to be a cost-effective entry into the 3-Series lineup and, as a result, an M3 version of the Compact was never sold. That doesn’t mean, though, that one was never built.

In its latest video, BMW Group Classic shows off the one-of-one 1996 E36 M3 Compact. Despite the car’s small proportions, BMW still threw in the S50B32 straight-six engine from the M3 Coupe, which produced 321 hp.

Its 23-centimeter (9-inch) shorter body meant that it was lighter than the Coupe, too. To ensure its potency, though, BMW also put it on a crash diet and gave it Recaro racing bucket seats, Alcantara trim, and a roll-bar. All told, the M3 Compact tipped the scales at 1,300 kg (2,866 lbs), making it 150 kg (330 lbs) lighter than the Coupe.

Despite being shorter, the wheelbase was actually identical for the Compact, which meant that stability wasn’t sacrificed. Unfortunately, BMW didn’t go ahead with the project and the M3 Compact never made it to the production line.

Fortunately for the enthusiast world, all the ingredients were out there, so a few replicas did make it into existence despite BMW’s reticence.