Honestly, the 1M looks a lot better than the regular 1 series, but it still is not a looker (judging from pics and video). The M3 is a gorgeous, sleek GT compared to the boxy M1.
It is however the best track car BMW makes now imho. Sorta beat the M3 in that regard. If I was looking for a dedicated track car from BMW, I would get the 1M without a doubt. (judging from poster's/mag-reviewer's experiences)