Yes, the 35 is hands down a better engine, but I wouldn't give up the economy and transmission of the 28i for it. The 28 is plenty quick from my wife. My only complaint is the sound of the 28; sounds like a four alright. So far my (not broken-in) X1 w/o Start/Stop or EcoPro is getting approximately 3 MPG better than my 3.0 E46 and I expect it to go up another 2 MPG after it loosens up.
Power aside, the 28 will handle better than the 35, so that's a plus.
If the X1 were my only car, I'd get the 35, but I have more powerful sports cars w/ manual transmissions that satisfy my hunger for power/sound, so the 28 is fine for us.
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