have you ever had a car with a 2jz engine in it yourself to make that firm comment of yours? they are more reliable than any engines i've had since started owning and playing with cars during my studies in Australia. I've had a RB26 R32 GTR, SR20 det 180sx, 2jz vvti completely stock Supra, a Rb 25 det R33 GTS-T Skyline and lastly a 1JZ VVT-i Toyota Chaser.
The most reliable of them all is the 2jz vvti supra and the 1jz chaser. And yes believe it or not, they are fuel economical too (off boost), and maintenance wise would just be your regular oil change and filter changes. My current neighbour has a 2jz VVT-i Toyota Aristo for the past 8 years, and never had i heard of any problems with his car, and he uses it daily from work to home and then to fetch his kids and wife.
What you claimed about " only good for the occassional weekend or nite time drives on the empty highways. Definitely not suitable for daily drives around KL roads in the daytime". will be laughed upon by too many people who knows these engines in and out. As a matter of fact, once the BMW engines reach the 5 to 10 year old mark, all you are waiting for are just piles of bills to pay for repairs.
I don't blame you when you say they drive like crap, well thats of course without a doubt since most are done by local neighborhood CRAP mechanics in Malaysia who splice wires here and there and have very little knowledge on it. I know of a few well known places in malaysia who are renown for doing 1jz and 2jz swaps, and i've only heard of good stories and recommendations from customers.
A true E36 M3 would be eaten up easily and would cost more to maintain than a stock 2jz VVT-i swapped engine thats for sure. Furthermore, the 2jz's are much more fun and spare parts are a dime a dozen. I speak from experience and knowledge from having played with almost all jap engines (pre-2000 era), and also a few bmw engines having owned a 320is 12 years ago (my dad's), E30 (project car in australia), a E39 and a E60 which are both family cars.
If you make such an affirmative comment like what you just did, at least tell us all what is it based on ? experience ? hear-say ? gut feeling? research? or your friend/kawan/ah bang tell you so ?