The smoke from the front will be from the Webasto coolant heater on the right side of the engine bay - rectangular box marked 'Thermo Top' - which runs during cold weather to bring the engine coolant temp up faster. The exhaust for it is under the front passenger seat and you'll see a little exhaust system under there.

It should not smoke though. Mine never did.

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Me:
Current: 2011 E71 40D Vermilion Red/Beige Nappa

Wifey:
Current: 2012 R80 Countryman SDX Green/Cream