Yes, non-Mexicans can legally own ocean front property in Mexico.

Here is a summary of how it works:

The Mexican Constitution restricts ownership of coastal real estate (31 miles inland from the water) to only Mexicans. To attract foreign investment, the Mexican Government passed into law in 1993 a very important bill which recognizes a Mexican Corporation as the legal entity fulfilling the Constitutional requirement for Mexican ownership. And at the same time, the law allows for non-Mexicans to totally own the Mexican Corporation.

You own your Mexican Corporation.
Your Mexican Corporation owns your ocean front real estate.
You own your ocean front real estate, complete with a legally registered title.
Safe and Simple.

The Mexican Government welcomes foreign investment in Mexico and has made the process very easy. Revenues from foreign investment and tourism are the leading source of income for Mexico.