We too stayed in Pajaro Dunes Condos several summers and really enjoyed 
ourselves.  You'll find LOTS to do.

Santa Cruz has a Landmark amusement pier but perhaps the boys have 
outgrown that kind of stuff.

We spent the day in San Juan Bautista touring the mission and the town. 
  If you want to get a good taste of early mission-era California and 
only have a day to spend this is a great place to see.

Just as Gilroy is the garlic capitol, nearby Watsonville is all about 
strawberries and other produce.  You might like to just explore the area 
to see the farming and the countryside.

Anywhere along the coast is nice but it can be foggy and cold.  We were 
always excited to find otters, sea lions, and seals.

If you like nature, head to Elkhorn Slough.  Driving will offer some 
interesting sights but if you are willing to go a little more strenuous 
you can tour on the water.

If you have the time and a nice day, the drive down the coast highway in 
Big Sur offers stunning scenery.  Go at least as far as Julia Pfeiffer 
Burns State Park to see the McWay Falls as it drops onto the restricted 
beach, its breathtakingly beautiful.

On a rainy day (or even not) the Monterey Bay Aquarium is worth a visit. 
  They are a premier marine biology center on the west coast.

The towns of Monterey and Carmel, as others have said, as well as 
Salinas and Santa Cruz, are worth a visit just for the architecture, if 
nothing else.  You might even find some celebrities there if you look 
hard enough.  For a fee, you can take 17 Mile Drive through the Pebble 
Beach area from Monterey to Carmel.  Great scenery, natural as well as 
"the lifestyles of the rich and famous".

Santa Cruz offers surfing and skate parks but also is known for disc golf.

For traditional golfers, Pebble Beach is the icon in the area but there 
are other fine courses in the area.

I don't know if tourists can find rental vehicles but there is even a 
large recreational vehicle (all types) state park in Hollister.

There is sailing, diving, fishing, whale watching, even tandem skydiving 
nearby.

For adults, there are wine tours, maybe not a famous as the Napa and 
Sonoma areas but still very good.

As you can see, with all this and more there is plenty to do in the 
area.  Enjoy the trip.  (And no I'm not on the Tourist Board nor was I 
compensated for this).

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