Joe...
Destin is a great place, but it's occupied by about 90% condos and not many hotels.
There are very few hotels on the beach. (directly on the beach) and for waht they cost for an "oceanfront room" you can rent a condo for the same price (or cheaper).
Hotels "directly" on the beach are Holiday Inn, Hilton (San Destin), etc. but be warned that they all have non oceanfront rooms also.
Most of the condo reservations are monoloplized by a company called Resort Quest down there. They used to be great when they were Abbott Realty, but once Resort Quest bought them, they have added a lot of "fees". But not many other choices.
you can always find something on VRBO.com, but I've not had the best of luck getting quick responses from the owners when I want to book something, or get tired of having to call them 3 times only to find out they are already booked, etc...
do you want condo or hotel? (lets start there).
As for dive operators, in Destin you've only got Scubatech and Emerald Coast Scuba. I've had better experiences with Scubatech (my opinion). But both operators are know for being wimpy if the waves are up and also for going to the same sites over and over again.