The Track Handling Package comes with adaptive suspension, the blue brakes, and stickier summer tires, and VSS. IMO it’s not really needed for a street car, however putting the KW’s shouldn’t be an issue as those are normal coilovers.
Regarding tracking an xDrive, it’s really up to you as it won’t be as dynamic as an M car or a RWD car in general. Is this your only car? If so, I wouldn’t recommend tracking it as it requires a ton of money to upkeep and tracking tends to be brutal on the paint.
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