From what I can make out of E34.de, some of the 525i's were also fitted with 3.73 and 4.10 diffs depending on the gearbox, have you actually checked what yours is fitted with?
Will any E30 boxes actually mate up properly with the M50 engine?
I'd have a crawl under and look at its ratio tag, if it had an older auto box in it I'll bet it's got one of the horrifically high ratio diffs in it... I bet if you drop the 3.45 in it you'll notice an improvement!