I second the Beaches. And not just because I live here.
Great parks, great boardwalk and great restaurants. O.k. fine, we don't have great restaurants but The Green Eggplant is quite good with good service too. Licks hamburgers are the best. Stay away from Whitlocks and Lion on the Beach. Overpriced garbage.
If you are there in the morning the Sunset Grill is where we go for breakfast when we don't want to cook and want cheap, fast, good food including crisp bacon and eggs benedict.
If you are a shopper there are two excellent baby clothing stores, one being Babes in the Beach on the south side of Queen and the other, which is a new store but excellent...can't remember the name but it is on the north side of Queen not far past Woodbine- gorgeous baby clothes for reasonable prices. Always a sale there as well.
Kids at Home, also along Queen St. has the best kids furniture and accessories if you have money to spend (or if you don't have money to spend but don't let that stop you, ahem).