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08-02-2026LAST POST
The 2001 BMW 740i, part of the revered E38 series, has long been a favorite among enthusiasts for its blend of luxury and performance. I was fortunate to acquire this iconic model during the pandemic, unaware of the journey it would take me on—or just how much I'd come to love it. As I spent more time behind the wheel, I encountered the expected maintenance challenges typical of a car of this vintage. This led me to embark on a restoration project, aiming to upgrade and preserve the car in OEM-plus condition, with a focus on period-correct modifications. Among the enhancements, I upgraded the stereo system, addressing the outdated technology and replacing the blown speakers, ensuring the sound quality matched the car's timeless appeal.

After acquiring the car from a fellow enthusiast, I started to source parts from dismantlers, BMW dealers, fellow owners, as well as aftermarket sources.

My thoughts about maintenance is if there is an better than option go with it. Trying to go as OEM plus and period correct as I could go...

Problems to sort out

- blown speakers
- worn suspension
- worn front leather seats
- droopy headliner
- M Parallels rashed and tired
- brakes worn out / need more braking power
- cosmetic issues, dulled out trim, roundel emblems worn, dents
- paint imperfections
- front bumper scratched up and paint damage
- rear bumper scratched up and paint damaged
- mirrors fade and don't match the car's paint
- valve covers typical wear
- cluster needs to be fixed (pixalation)
- needs front windshield and rear window replaced (waiting for potential full body repaint)

Upgrades

Stereo
- 5 inch rear deck woofers removed and replaced with Bavauto
- Focal Flax Evo PS165ES (front and rear)
- Focal FDP 6.900 V2 - 6 Channel Amp
- AVIN Avant 4
- Design Rendition Cup Holders with 2 Charger Ports

Suspension
KW Variant 3
Syncro Design Works Thrust Arms

Brakes
Brembo GT Front Brake Kit
Goodridge SS Lines Front and Rear
Brembo Cross Drilled Rear Brake Rotors
Brembo Rear Brake Pads

Interior
Restored Headliner, A, B, C Pillars, Mirrors in Alcantara
Restored Rear Deck in Alcantara
Front Seats reupholstered
Restored Steering Wheel
New OEM Leather Shift knob
Replaced phone carrier in arm rest with coin holder (OEM)
Center dash grill replaced with new OEM

Exterior
Roundel Front and Rear replaced
Front Bumper Black Trim replaced
Front Bumper repainted
Rear Bumper repainted
Mirror repainted
Dents removed
Wetsanded and Corrected
OEM Pre LCI Center Grills

UPDATE: 10/16/24
Ordered BavTek Inc BMW Instrument Cluster LCD Display Silver Ribbon Cable DIY

Unfortunately I'm not sure where my original photos of the car prior to the mods and maintenance.
When I find them I'll post them.

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Dent removal
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Bumpers, Mirrors and Trim removed for repaint
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Years of build up dirt and debris
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Painted pieces back from Final Touch Collision
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OEM pieces about to go back on the car
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Rear cleaned up for bumper install
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Old Orange bulbs out for newer clear bulbs
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Before
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After
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M Parallels were pretty beat up, had Will from Proformance in New Rochelle completely refinish them.
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Back on the car with restored wheels
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Looks great! I’ve always loved the shorty E38.
Can't wait to see more content. Great job so far!!
Nice shorty sporty, looks great. Good luck with the car.
I came here to see oil leaks

Did you fix it all mechanically already?

Nice car btw, enjoy the black paint
I have two NEW valve covers. $350 plus shipping from 85712.
Thanks,
Ted
eventually this car will be fully repainted, in the mean time I decided to wet sand the car to improve the look of the paint.

Tools and products used
RUPES Skorpio III Sander
SAND PAPER - 1000-3000
RUPES HLR75
RUPES HLR15
RUPES HLR21
RUPES YELLOW WOOL PAD
RUPES YELLOW FOAM PAD
RUPES WHITE FINISHING PAD
RUPES DA COARSE COMPOUND
RUPES DA FINE POLISH
THE RAG COMPANY MINER MICROFIBER TOWEL

BEFORE THE PAINT WAS DULL WITH DEEP SCRATCHES AND SWIRLS
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PHOTOS OF THE PROGRESS
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IMPROVEMENTS ON THE PAINT AFTER THE SANDING AND CORRECTION
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BROUGHT THE CAR OUTSIDE AFTER SANDING AND POLISHING AND I WAS PRETTY HAPPY WITH THE RESULTS, IT'S FAR FROM PERFECT BUT MUCH MORE PRESENTABLE NOW.
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Debadging and Installing new emblems. (heat gun / fishing wire / solvent to remove the left over adhesive)

While sanding the car I decided it would be a good idea to remove all the badges and emblems.


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20+ years of old emblems with dirt and debris
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Hood and Trunk Emblems
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Old Vs New
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Rear Trunk Roundel Installed
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Front Hood Roundel Installed
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A ton of maintenance items

Fix Rear Shades - found a new one at the dealer the other side I believe was NLA
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3 out of 4 Window Regulators were replaced
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Updating the broken grills with new pre LCI grills
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Transmisson Control Module - Replaced the old one (got some transmission failure code, so glad it was this module and not a transmission)
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Trunk Shock Mounts replaced
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Old vs New
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These were removed to prevent the water/condensation in the cockpit (one on each side / driver and passenger)
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Unhappy with the current condition of the valve covers I ordered a refinished set on ebay .... not really happy with what I got from the ebay vendor, I decided to go ahead with the covers and service. While the original ones were out I sent them to Proformance to refinish and wrinkle coat it.

Ordered a valve cover seal kit / plugs / filters / oil the works.
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They all seem to do this
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New Starter
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Ebay bought valve covers
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Much better than the worn out stock ones
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New window/engine cowl to replace the old beat up one
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Wiper blades replaced
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When I bought the car the previous owner mentioned that the roof may have a leak, we ended up doing a full maintenance service on the sunroof, cleaned the track and changed all the seals.
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Center Arm Rest Coin Holder replaced
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Original Valve Covers get restored by Proformance in New Rochelle

Beat up valve covers
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Blasted and prepped
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Final outcome is great ... now time to find the time to pull it all out again and redo it.
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B58 parts wrote
I came here to see oil leaks

Did you fix it all mechanically already?

Nice car btw, enjoy the black paint
believe it or not the car didn't have any oil leaks...but there were a ton of routine items that needed to be replaced, I'll post them as I have time to build this thread.
SW111 wrote
Looks great! I’ve always loved the shorty E38.
thank you!
DubaiRich wrote
Can't wait to see more content. Great job so far!!
thanks!
Chihuahua wrote
Nice shorty sporty, looks great. Good luck with the car.
:thumbsup:
wyshyvanuk wrote
I have two NEW valve covers. $350 plus shipping from 85712.
Thanks,
Ted
Ted I wish I knew... I would have bought them LOL.
Well, it was either you, or the art installation in the den ;~). Looks great!!!!
Beautiful e38! Really puts it in perspective just how much work it is to get a car back up to a good standard once it's been neglected for a while. Great work!
How much do you think you’ve spent on replacing all these parts?
Thank you for posting progress pics. Truly a pleasure watching this beauty come back to life.
Awesome restoration so far! You got me inspired now, as I have recently picked up a 1998 E38 740i and have currently been trying to get it together mechanically.

I do have some questions, how easy was it for you to install the new shift knob? As mines is kind of loose.
MarcoF90 wrote
Awesome restoration so far! You got me inspired now, as I have recently picked up a 1998 E38 740i and have currently been trying to get it together mechanically.

I do have some questions, how easy was it for you to install the new shift knob? As mines is kind of loose.
First order of business...timing chain guides and then everything else.
Wolf 335 wrote
First order of business...timing chain guides and then everything else.
Luckily for me the previous owner of the car was a older gentleman who took pretty decent care of the car so the Timing Chain Guides was taken care of 55k miles ago. He wanted to keep his E38 and only sold it because he ended up picking up a slightly newer 7 Series (E65) and didn't want to financially maintain 2 7er BMWs.

So far i got it going in a great direction mechanically. Next issue is shaking close to idle and up to 2k rpm. anything past 2k RPM and the shaking disappears.

So will be tackling that issue this weekend
👍👍
MarcoF90 wrote
Awesome restoration so far! You got me inspired now, as I have recently picked up a 1998 E38 740i and have currently been trying to get it together mechanically.

I do have some questions, how easy was it for you to install the new shift knob? As mines is kind of loose.
Pretty easy you have to pull hard to remove it. That being said we had our in house mechanic do it. :thumbsup: