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An E36 318i should be way under 5k, closer to 1k. The engines when maintained are good for about 400-500k miles (words from a BMW specialist mechanic friend), just be sure to check there is no structural rust anywhere.
I`ve checked the BMW specs and rated fuel consumption is 36.3mpg at 56mph and 29.7mpg at 75mph (30.1mpg for the coupe).
And that is full stock, so with grill blocking and coroplasting the underbody and a little driving sense, 35mpg highway is easily realistic. And you also get that mpg dial on the dashboard as standard, that`s what helped me get 45mpg on longer runs on the 520d I used to have.
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