I remember that as toddlers my kids liked:
the original 7 Curious George stories
the 'I Can Read' books by Arnold Lobel (Frog and Toad, Owl at Home, etc.)
the Little Bear books, illustrated by Maurice Sendak
the Nutshell Library by Sendak (Pierre, Chicken Soup with Rice, etc.)
Stop That Ball, A Fly Went By, and others from the Cat in the Hat series
a big compendium of the original Thomas the Tank Engine stories
George and Martha
The Story of the Little Mole Who Knew It Was None of His Business
the skinnier Roald Dahl books (The Minpins, The Giraffe, the Pelly & Me, The Enormous Crocodile, Fantastic Mr. Fox)
lots and lots and lots of Magic School Bus picture books (I think we had over 30)
books by Virginia Lee Burton (The Little House, Mike Mulligan's Steam Shovel, etc.)
Kipling's Just So Stories, illustrated by Tim Raglin
