Tranny HELP! '92 E34 525i w/ 6-spd tranny

[WhiteE34]

Ok, so yesterday I was accelerating on a straight. First gear, then a quick second, then BAM! I lost second gear - the shifter is in second but the tranny is in neutral... And yes, I still get the other gears.

Took my car to my trusting mechanic. He told me, "BMW doesn't sell internal parts for this tranny, so you have to buy a factory rebuilt one." Cost is $2600 for the part and labor/installation.

First off, is the price right? And isn't there a better solution - cost wise? Afterall I'm just missing second gear - can't they fix the linkage or whatever is it for that gear?

Secondly, instead of rebuilding/replacing my stock 5-spd tranny, is there a 6-spd tranny that can fit into my 1992 E34 525i - like from the E34 540i Sport?

Any input concerning tranny rebuilds will be greatly appreciated. How much did you guys spend? Thanks!

Steve