My experiences are all from the 99 TE I have (identical except for engine, I believe). Very nice cars -- watch for bad accumulators in the rear SLS -- they tend to go about 180,000 miles or so, and if the car is driven with bad accumulators, the struts also get blown out. Accumulators are cheap, struts are not.
AC evaporator is a huge PITA -- I still don't have mine working correctly (leaks, dont' know where), but doable.
Other than the SLS, they are the same as a sedan -- head goes if overheated (sometimes if not, as well), vac pump can fail and drop bits in the chain, blows up the engine (expensive), but otherwise VERY nice -- lots of power, and I get 29 mpg or better on the highway in my 300D sedan. Wagon will be less, likely, due to lower rear end ratio, but not much. 2.5L wagons (5 cylinder) get better milage, up to 36.
Peter
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1972 220D ?? miles
1988 300E 200,012
1987 300D Turbo killed 9/25/07, 275,000 miles
1985 Volvo 740 GLE Turobodiesel 218,000
1972 280 SE 4.5 165, 000 - It runs!
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