FYI, the 318 does not utalize vanos regardless of model year.
In order to sway the 1.8 for the 2.5 you would need a new tranny, driveshaft, differential, engine, ECU, and all the other engine components.
Plus, ifyou car is as damaged as you make it sound, it may be best to total it. Repairs will outweigh cost of transplant, not to mention cost of body repair and frame pulling.
<span style='color:gray'><span style='font-family:Courier'>1995 e36 3 Series RIP
1999 e46 3 Series BURN IN HELL
2000 MR-S Roadster= Current</span></span>
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