BMW Seattle didn't say anything, it just needs a new tranny. For them, the easiest thing to do is replace the tranny and it is good to go. For me, I want a more reasonable fix. I talked to an independent shop in Seattle and they gave me some reasonable alternatives such as drive till it is a problem, used gearbox with service records, rebuilt gearbox, possible synchro.
The BMW service rep claimed that the car has a lot of wear and tear and that it probable was dragged. I am the 3rd owner and have put 11K miles on it. Even if someone drove it hard, I don't think the gearbox should fail with only 48K miles. Stay tuned.