IMPCO has a variety of rebuild kits available for the 240D. I considered doing all these to my 83 240D, but don't have anyplace to do it right now. The apartment manager frowns on people working on their cars in the parking lot; I'm sure he would not appreciate me pulling the engine out in the lot. Maybe when I move, I'll get someplace with a garage...
Anyway, my latest IMPCO catalog has the following kits:
Lower engine kit, about $920. Includes pistons, with rings, wrist pins, and clips; piston liners; connecting rod bolts & nuts; rod bearing set; main bearing set; thrust bearings (if applicable); wrist pin bushings; oil pump w/ chain; lower gasket set; flywheel bolts; front crank seal spacer.
Camshaft kit, about $400. Includes camshaft, rocker arms, valve springs, valve cap nuts, and valve lock nuts.
Timing chain kit, about $190. Includes timing chain, tensioner, all rails, and idler, cam, and crankshaft gears.
Head kit, about $220. Includes head gasket set, exhaust & intake valves & guedes, and valve stem seal kit.
IMPCO's phone number is 800-243-1220.
I got the timing chain kit and am going to drive to my dad's place to do it this weekend since I'll have 3 days (labor day). I'll let ya'll know how it goes. It doesn't look so hard, according to the service manual.
'83 240D, 250,000 miles.