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I have noticed it a few times...I think it is due to: a) waxes or whatever else is there, melting during breaking-in process by the high temperatures and b) it is normal due to the high temperatures of the Turbo, which sits on top og the engine. My Mini Cooper S had similar burning smell on few occasions. These, are just my guess, since I have not asked my dealer yet.
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2011- : BMW 116i (F20)
2009-11: BMW Z4 2.5si (E85)
2007-09: Mini Cooper S (R56)
2005-07: BMW 325ti (E46)
2004-05: BMW 318i (E36)
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