This is still a extremely small selection, but I just started and plan to develop a list for recommended reading about Islam, especially for Christians but certainly not only.
Norman L. Geisler & Abdul Saleeb
Answering Islam: The Crescent in Light of the Cross
Baker Book House, 1993. 336p. $17.99
ISBN 0-8010-3859-6
This book has received much positive feedback from Muslims for the fairness and honesty in the first part, the introduction to Islam.
Colin Chapman
Cross & Crescent
Responding to the Challenge of Islam
IVP, 346 p., $17.95
In the USA available (cheapest) from WCN for $15.26.
Islam and Christianity
A Muslim and a Christian in dialogue
Badru D Kateregga, David W Shenk
Herald Pr, 1997, 224 pages, ISBN 0836190521
(I highly recommend this book since both participants are in true dialog, and both are conservative believers of their own faith. Most of the dialogs we see today are of the liberal kind and not very helpful. Each one presents his position on several chosen topics and then the other comments. Originally published in Kenya, where both authors were lecturers at the Kenyatta University in Nairobi.)
Dr. William Campbell
The Qur'an & the Bible in the Light of History & Science
343p, (c) MER 1992, Paperback $12.00, ISBN 1-881085-00-7
The Hadith:
Phil Parshall
Inside the Community
Understanding Muslims through Their Traditions
Baker Book House, (c) 1994, 240p, ISBN 0-8010-7132-1, $13.99
The author went through the complete volumes Sahih Bukhari and collected many of the Hadiths under certain topic titles. Quite a number might be very unknown even to Muslims and are very 'uncomfortable' to the current glorification of Muhammad and the early Muslims. But it is a fair treatment, it is not a "try to find the ugly" approach.
Answering Islam Home Page