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Hi there,
not sure how much help this will be but if you want AWD, you pretty much have to get a V70R for what you are looking for (AWD, HPT) (I think there was one year of 850 AWD but I don't think they came with manual trans). Also you don't mention where you live but if you are in the U.S., manual trans are very hard to find (manual trans were not available for all years) (They are more common in Canada but still very rare). Your best bet is probably to find a 2000 V70R (2001 is the new body style - only T5 or XC, no AWD R) but as mentioned, I'm not sure how common they are with a manual trans.
Getting 350-400HP from the Volvo may not be realistic either, the 2000 Rs came with 261 and with a chip + exhaust you might be able to get to 300HP but I thinks that's about it (port&polish and larger throttle body, etc will get you some more but I don't know how much you can expect and that's going to get real pricey). I also don't know if the trans and driveline would be able to handle 350-400 anyway.
Realistically, if you want a wagon with that much power, I think you will have to look for a European or Australian (not available in NorthAmerica) Audi RS4 Avant. They're not cheap (probably about $100,000US) but they are very powerful, Quattro (AWD), 6speed and it's a wagon.
Hope this helps,
Mike
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