angular2 NgFor only supports binding to Iterables such as Arrays
in case you are trying to iterate on an object:
<div *ngFor="let location of locations | keyvalue">
{{location.key}} - {{location.value | json}}
</div>
KeyValuePipe Documntation
Generally speaking, the error means you are trying to iterate on an object instead of array or observable.
It looks like you want
<li *ngFor="let item of menuItems.children">
{{item}}
</li>