As a person who lives "on that side" I take issue with this statement. I live out here because I hate the city, and it's gorgeous on this side of the island. When I'm in town I always feel like I might as well move back to L.A. Yuck.
Out here, I get the small-town feel, know all my neighbors, and don't have deal with nasty traffic when all I want to do is go grab a carton of milk from the store. Go suburbs!!
Regarding the commute -- like any big city, the people who live out in the suburbs stream into Honolulu in the morning, creating traffic. If you need to get into Waikiki from between 7 am - 9am, then yes, you will hit lots of traffic. Two hours is on the high side, unless there is an accident. In traffic, I average 45 minutes - 1 hour 15 minutes, depending on what time I leave. With no traffic, we can get from Leeward to Kapiolani in about 20 minutes.
The west side of the island boasts beaches, amazing sunsets, a very good luau, and good places to eat in Kapolei. Drive over to the North Shore, and you get genuine old Hawaii, with more beaches. Pearl City gives you the Arizona Memorial and the WWII History Museum, where you can spend all day if so inclined. The hikes in central Oahu are awesome, and if you hit Kualoa ranch on the North shore there's a load of stuff to do.
If you stay at Aulani, you'll have amazing views of Hawaii + Disney magic. If I could afford it, we'd SO be there, but we'll probably wait till next year since we're going to DLR already this year. And I get to go check out Aulani next week for preview!! Woo hoo!