Here are a few suggestions. All of these are nice mid range and up places where I would stay myself with my family.
Spinnaker - 18th Street, ocean block, outdoor pool
Holiday Inn Hotel and Suites - 17th Street, ocean front on the boardwalk, indoor and outdoor pools
Dunes Motel or Dunes Manor Hotel - 28th Street, both places are ocean front one block north of the boardwalk, indoor/outdoor pool at Dunes Manor
Castle in the Sand - 37th Street, ocean front, large outdoor pool, easy drive or bus ride to boardwalk.
If you want to go to the high end in terms of amenities, rooms, and
price, the Hilton Suites ocean front on 32nd Street is also a great
option.
If you are staying a week with a family, I'd recommend considering a condo rental. I rent a condo every year and find I get more space for less money. I give up maid and linen service and some amenities, but it is worth it for the extra space. There are not lots of condos on the boardwalk, but there are a few. I love the area midtown (about 33rd to 85th Street) where there are lots of low rise buildings and where it is easy to get to everything in OC. If you want to explore the condo route, contact one of OC's realtor. Many are referenced on other threads on this site.
Answered: January 12, 2011