Was in Cayman in April..... was pretty pricey all over, but work was paying ("conference" trip"!!). We stayed in a condo on 7mile beach (check out caymanvacations.com), worked out as about the same price as a hotel, you dont have to pay to eat out the whole time (also very pricey in Grand Cayman), and much more space and freedom. Most of the dive operations there will pick you up from anywhere on the beach for no extra cost, and drop you off again after your dives, so in that sense it probably does't matter too much where you stay. We dove with Neptune's divers, and they were a very decent operation, no more than 8 divers at a time. A little "rough and ready" compared to some of the bigger ops (small boat, build you own gear, gasp!!) The lady who runs it was excellent, really knows her stuff and the area. We also drove out to the East End of the island for a day of diving (Ocean Frontiers were the only dive shop here, and were also excellent) - well worth the trip, slightly more challenging entries and exits due to bigger currents and swell, but you see totally different stuff than on the West end, was well worth the drive out there. Towards the end of our stay we also found a small dive shop offering shore dives only - I can't remember what its called, but its in the far corner of the parking lot across the road from the Turtle Farm (North end of 7 mile beach, they were still rebuilding after Ivan, so the place looked like a construction site). This is a great option for a couple of cheaper dives - they'll rent you tanks and weights, show you maps and advise where to go, and you can dive from a platform right beside the dive shop. We did a couple of daylight dives from here, then came back in the evening (the guys will leave tanks out for you) for some night dives.... really nice spot, the dives were awesome.