Beneath the beefy silhouette of the M3 GTR beats a powerful heart: a four-litre V8 engine delivering more than 400 bhp. This short-stroke, high-speed unit epitomizes the tradition of M power and is compact enough to fit into the M3. This engine is very different from the V8 found in the M5 and has yet to been seen in any E46 road car.
In accordance with the regulations of the Automobil Club de l’Ouest (A.C.O.), which also organizes the Le Mans 24 Hours, BMW Motorsport was planning on building a limited production run of road-ready M3 GTRs. The motivation behind this would be to satisfy homologation regulations which stated at least one road going version needed to be sold.

In accordance with the regulations of the Automobil Club de l’Ouest (A.C.O.), which also organizes the Le Mans 24 Hours, BMW Motorsport was planning on building a limited production run of road-ready M3 GTRs. The motivation behind this would be to satisfy homologation regulations which stated at least one road going version needed to be sold.

After decimating the competition in the GT class, Porsche complained the BMW car was streching the rules too far. The ACO coincided with Porsche and changed the rules such that the BMW would need an additional 100 lbs of weight and 20% larger air restrictors or make 1000 road going examples. Sadly, by attempting to make the GT class comptetative, the ACO have driven BMW away from GT motorsport in 2002.