- The German, Lee Thomas (Lethe)
- Paradise Tales: and Other Stories, Geoff Ryman (Small Beer)
- Static, L.A. Witt & Amber Allure (Amber Quill Press)
- Steam-powered: Lesbian Steampunk Stories, JoSelle Vanderhooft, ed. (Torquere)
- Triptych, J.M. Frey (Dragon Moon)
Genre titles in other categories include Huntress by Malinda Lo (Little, Brown), a finalist in LGBT Children’s/Young Adult, and The Fire in Moonlight: Stories from the Radical Faeries, by Mark Thompson (White Crane Books/Lethe), a finalist in LGBT Anthology. Triptych by J.M. Frey (Dragon Moon) is also a finalist in Bisexual Fiction.
The awards will be presented at the 24th Annual Lambda Literary Awards Ceremony on June 4, 2012, in New York City.