Most likely it's the water pump. Your car's overheating symptoms are the same as others with 2006 E90s. Pump is electric driven and many times the first indication prior to a complete failure is low pump RPMs. That explains why it overheats on high loads in the cooling system. It appears that the 2006 models have a higher incidence of failure. BMW has upgraded the pump design so hopefully your replacement will be more reliable.
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