In the super luxury bracket Cayman is lucky enough to have the Ritz-Carlton, Grand Cayman which has an enviably beautiful beach right in front of the hotel, along with great restaurants and lots of style. Also in this category is the Caribbean Club which has a nice pool and beautiful beach and an extremely good restaurant called Luca. The latter are large, stunningly decorated condos with a concierge service and within walking distance of a very good supermarket.
Only slightly down from the super-luxury resorts listed above we have the Kimpton Seafire and the Marriott Beach Resort. Both are located right on the beach and have very good restaurants. The beach at the Marriott is good though rather short.
In the mid-priced, mid-range hotel offerings there is the Comfort Suites and Sunshine Suites. Neither are on the beach but both are very popular particularly with business travellers and those moving to the Island to work (many of the accounting and law firms give their new staff one months accommodation in either place). Neither are on the beach. Both have great locations on the Seven Mile strip though, along with a restaurant each (Stingers and Sunshine Grill) that are both known for their well priced and delicious food. Lastly there is Holiday Inn Resort which faces the North Sound. It has a restaurant on-site and a great pool. It is also right next to the very good North Sound Golf Club.
All along Seven Mile Beach there are 25+ condominium complexes most of which offer daily rentals in 2 or 3 bedroom condos. You can find everything from the brand new and extraordinarily luxurious to the more tired but very cost effective. There are also a few resorts nearer George Town including Coral Sands Resort (walking distance to town and a grocery store) and Sunset House (mostly for divers).
There are a couple of companies that specialise in renting private homes whether a condo, villa or 2 to 5 bedroom homes. Almost always they are on the beach. One option is Cayman Villas (+1 345 945 4144, +1 800 235 5888) who rent nicely decorated, fully-equipped houses and condos on the beach everywhere from Seven Mile Beach to Cayman Kai and Little Cayman. Each villa must be rented for a two night minimum and many come with kayaks, snorkelling equipment, BBQs and games to entertain kids. All you have to do is bring food and drinks!