Any of the production tool supply type stores, even sears or home depot. get the carbide type, use slow speed, drill a pilot hole first, and use cutting oil, and keep the bit as cool as possible.
Just about any cheapo HSS black bit set can drill through any non-heat treated mild steel or iron. The key is to use about a medium drill speed and keep it well lubricated, and you should be fine.
I have some 100% solid carbide drills but the biggest problem drilling are the inconsistant feed rates and rigidity of a hand drill. If you want you can bring it by and I will be more than happy to drill whatever you got. With carbide you can drill 1" thick steel in less than 10 seconds or so.
As long as you start with a smaller size and work up to the 1/4" you should be just fine. Probably do it in 3 steps.
1. Pilot Hole
2. 1/8"
3. 1/4"
Use a slow speed and lubricate (WD-40 works just fine for this)
I've done this with much less quality bits with no issues. If you get a decent brand carbide tipped bit, it will cut thru no problem.