It is real, it has been a show piece at McKenna BMW for years, this from a member of the M3 Lightweight Registry, "This is one of the first LTWs to land in the US. It has sat in the showroom of McKenna BMW since 1995, IIRC, as a display piece. I guess they've finally decided to move it. Actually, I was unaware of the existence of this particular car until a few members of Alex Job Racing told me about it (AJR prepares/supports cars for McKenna Porsche's ALMS efforts)."
They did not come with stereos, but did have speakers and grilles in the door panels, most likely some salesman took the information out of an M3 description. Same for the Nappa leather cloth comment, directly out of a generic M3 description.