Are you driving to Cabo?
I haven't stayed out on the corridor before, always in town, so my suggestions are centered there but there are two nice beaches on the corridor that are worth a few hours: Playa Chileno and Playa Santa Maria.
Playa Chileno is a family-friendly beach. If you go on the weekends, lots of locals go there and your kids can join in a friendly game of beach soccer. This is the best snorkeling beach. There are a few palapas in the sand, otherwise bring your own shade.
Another family-friendly place is the area of Medano Beach in front of Tabasco's Beach restaurant. Lots of locals converge here, and this is great place to rent any beach toys you might want like a jet ski or kayaks. Further down Medano Beach in front of the Office is the other place to rent such toys. We rented double kayaks and easily paddled over to Lover's Beach. It was a pleasant way to be out on the water.
Since you have a car, you can check out the historic downtown area of San Jose del Cabo. It feels much more like a real town to me than Cabo San Lucas. It is very walkable.
In terms of Cabo San Lucas restaurants, one of my favorites for an authentic atmosphere is Las Guacamayas. The menu is large enough that it has something for everyone, the prices are excellent and it is far away enough from the Marina in Cabo that few tourists ever go there.
Los Tres Gallos also offers an authentic experience, but I prefer the food at Guacamayas more.
A different restaurant experience is dining in the sand at Cascadas Beach Club Grill. Cascadas Beach Club is a timeshare next to the Peublo Bonitos on Medano Beach and their excellent restaurant is open to all. It is a bit more fine dining, but it is very cool to have your dinner by candlelight on the beach. Not too fancy that your kids won't enjoy it. They also do a nice Sunday brunch.
Have an excellent vacation!