I think the G37 looks good (not great), and there can be no argument that it is an awesome value. I actually don't see that many of them on the roads here in Nor Cal either - mostly see G35's.
I test drove the G37 and would have gotten that car if I were on a tighter budget and if the M3 wasn't my dream car. It's got enough HP and handling for you to have plenty of fun, and the electronics/gadgets in the car are great - especially the Navi.
Vs. the 335, it's a really close call and I think it comes down to what is more important to you. Here are my impressions of both cars:
BMW brand name/prestige
More solid feeling and materials are generaly better quality
likely more reliable
best bang for the buck - you can take a very nice vacation for the $$$ saved
Both great cars - good luck with your choice!