Praise be to Allah.
The Quran is the best book that mankind has ever known, because it is the Word of the Lord of the Universe, which was brought down by the trustworthy Spirit [i.e., Jibreel] to the heart of the noble Messenger, to bring mankind forth from darkness into light, and guide them to the straight path. It is the Book whose miracle abides, the proof of which is constantly renewed; Falsehood cannot come to it from before it or behind it, (it is) sent down by the All Wise, Worthy of all praise (Allah) [cf. Fussilat 41:42]
“It is mustahabb to recite Quran in a place that is clean and suitable. Hence a number of scholars regarded it as mustahabb to read Quran in the mosque because it is both clean and a honourable environment… With regard to reciting Quran in the bathroom, the salaf differed as to whether it is makrooh. Our companions – i.e., the Shaafa’is – said that it is not makrooh. This was quoted by Abu Bakr ibn al-Mundhir in al-Ishraaf from Ibraaheem al-Nakha’i and Maalik, and it is the view of ‘Ata’.
Some regarded it as makrooh, such as ‘Ali ibn Abi Taalib (may Allah be pleased with him). This was narrated from him by Ibn Abi Dawood.
Shaykh Ibn ‘Uthaymeen (may Allah have mercy on him) was asked:
With regard to places for doing wudoo’ that are outside the toilets where one relieves oneself, there is nothing wrong with remembering Allah there.
Majmoo’ Fatawa Ibn ‘Uthaymeen, 11/109.