I would look at north SMB. Assuming the kids want a beach as well as snorkeling. It's a little quieter north past the marina and the condos/resorts aren't so back to back.
You're covered since all the dive operators will pick you up along SMB. There's a fleet of dive vans picking up divers daily along West Bay Road at the back entrances to condos/resorts.
Besides Wall to Wall - which I recommend, look at Neptune's Divers, Ambassador Divers, DNS Diving or Indigo Divers. All are 6-8 divers max on bigger boats. I recommend Ambassador also - they're at the Comfort Suites a little to the south but their boats aren't - IDK where they keep them but probably in one of the marinas on the North Sound. What I really like about Wall to Wall - and others - is they're not afraid to burn the gas to get you out to the better North Wall dive sites. Any of these choices will be good also - everybody prices the same so service is how they differentiate themselves.
Cayman Islands Tourism Association - Watersports
Diving off SMB is all boat diving - it's too far from shore. The better diving extends north from there and continues around NW Point to the North Wall. Some of the best dives there are Eagle Ray Pass, Hammerhead Hill, Ghost Mountain and farther east Babylon. Babylon is too far east for most of the west side operators but some do it on extended day trips.
The problem with looking at the quieter East End or the North Side is that there's one dive operator in each area and you'd have to drive to it. Also there really isn't much good beach anywhere except SMB - some will be sand but ironshore at the waterline. Here's a
typical example in the NW Point area - water access is by vertical ladder off the dive dock. Several other properties in that area are similar.
http://www.caymanvacationcondo.com/ So back to SMB options:
One that came to mind was Christopher Columbus. It's a condo property on the far north of SMB - check but I'm sure most dive operators will pick you up there - some have their boats in a nearby marina. There's a beach and a snorkeling reef off the beach. One of the other good snorkeling beaches on Grand Cayman -
Cemetery Beach is just north of it - I think you could almost walk there.
Christopher Columbus Condo - Seven Mile Beach, Grand Cayman
Fosters Food Fair is a 1/4 mi. north also. Right across West Bay Road from CC is the Jackson's Pond wetlands so there's no buildings. 500' to the south is the golf course. Just past it is the rotary. Left on the rotary into the Yacht Harbor -
Wall to Wall keeps a boat there. Also Living the Dream Divers has theirs nearby. Probably several others also.
Just north of CC is Discovery Point Condos. Their pool is on their beach but it may be a bigger property than you want.
http://discoverypointclub.com/
Slightly farther north still is Silver Sands. The nice thing about them is they're on a much wider beach due to their location.
silversandscondos.com
Lastly in that area is Heritage Club. They're on a better snorkeling beach than some of the others. Just south of the golf course.
Heritage Club condos - Grand Cayman
Once you get much farther south you run into the busier part of SMB near the Ritz and the bigger marina. There's shops/restaurants in that area - it's probably a mile south of Heritage Club.
One other option if you wanted to be closer to Georgetown yet away from the hustle of the cruise port could be the Grandview. We stayed next door and walked by it a couple times - looked nice. Nice beach but ironshore at the waterline but there the water is still accessible.
http://www.caymanvacations.com/grandview.shtml
hth, I didn't really mean to write this much - what else is there to do on a Sunday night...