For an M3, I would recommend:
Bridgestone RE-11
Yokohama AD08
Dunlop Z1 Star Spec
http://www.tirerack.com/tires/tests/...y.jsp?ttid=118
And yes you can run a 265/295. 285 on 11 is going to look stretched.
These are the best performance tires before going DOT-R.