Yeah, unfortunately the Pre-32v US-spec 928s were dogs. Even the first of the US 32v's weren't all that great. My '85 S was rated by the factory @ 318 hp - and when dyno'd the late-16v proved to be notoriously underrated. Porsche didn't reach that level of power again until the 928GT and GTS.
This car is a good candidate for a SBC swap though. There was even a company, back in the early 90s, that was doing tuned BMW/Jag V12 swaps...