Thanks for all the replies and input. I've decided to go MT RWD. I still love the control and the rowing of gears on a stick. Being that I'm not going to be drag racing every single chance I get I'm not concerned with 0.1s acceleration difference. I want to feel the power and control it more so than that have a quarter mile slip for bragging rights.
As far as AWD I think if it was a more performance oriented setup I'd o for it. But RWD is much more pure for a BMW performance vehicle. If tire spin is crazy out of control i might revisit wider rear tires and an LSD.
For those of you with RWD that are tuned do you have serious annoying traction problems getting the car to hook up or just some minor fun with the tires breaking lose a little when accelerating hard?