Hotel district is safe, Temptation Resort is safe, beach is safe and Mexico in general is safe. Just like home, there are certain areas probably want to steer clear from if venturing out of the "hotel zone" but with a little situational awareness there is nothing to worry about!
Thank you all for your replies. After taking a few Desire employees out for drinks last night we decided to go home. What really helped us decide were the articles in the local papers saying that the Hotel Zone is in the hands of the rival cartels battling for control and their feelings of not wanting to take their own families to the beach there at this time. We've known them for years and trust them. They say it's not the Cancun it was a few years ago. Things ARE happening on the beaches, in front of hotels and cartel signs warning of violence are hung all over Cancun every couple of weeks. We had people tell us that this wasn't true but we saw the news write ups ourselves. Like someone here said, it's a decision only we can make. For us, bottom line is people who said just stay out of the sketchy areas and you'll be fine may not realize the Hotel Zone is becoming a sketchy area. People who make their living in the tourism business may not want that out there but we're going to listen to the people who live there. For us, when they say they feel less safe in the Hotel Zone now than a few years ago, it's worth listening to. Thank you once again for the advice. We hope you have both fun and safe trips.
So many inaccuracies here, if I wasn't due to leave for the Boobs Cruise in 5 minutes I'd write a long reply. Maybe tomorrow.