There is a sport package in the 5-series, but it is more of an appearance package than a suspension package. There is not a dramatic difference in ride and cabin noise level like there is with the e46 3-Series.
I wanted a wagon because I don't own a pickup and I need a way to move stuff occasionally. I used to own a manual tranny 240 Volvo wagon. Not fast, but a great car.
As for handling, that is always a subjective call, but I have never heard a complaint about the handling of a 5-series. I am less interested in the overall size of the car because I am 60 years old and have put many miles on everything from a dirt bike to an 18 wheeler.