Lets start with the location - if you want earthy, local experience then this has it all - inaccessible by car, a chap with a wheelbarrow took our luggage down the side streets, the last being too narrow to get down other than on foot. A 5 minute walk from the main square - great in the day, if you dodge the mopeds, but a bit scary at night and I could have done without being offered hash for the umpteenth time outside the riad. The welcome couldn't be faulted and we had a lovely cup of tea before being given the "tour". It's rustic. The 'pool' we were shown was marginally bigger than 3 domestic baths shoved together. The place was clean and tidy enough. The roof terrace was compact shall we say but it looked all very lovely. Our room was just not for us - I think we had looked at the better room pics on this site and assumed that they would all be as nice - the WC and bath (the interior of which was mud brown in colour) were separated from the bed by a curtain; sorry just not my idea of a nice experience. The previous guest had taken the one key with them so our room was insecure, there was a safe so at least our small valuables could be locked away. The following day some workmen were replacing the lock when we returned to our room after a walk.
Breakfast was very nice, and the staff helpful - their spoken English not great but then why should it be, our poor French was worse, but between the two we all got by. We decided that it really wasn't the place or the location for us.; fortunately the free wifi was just that so we organised another hotel with more European amenities & standards for the remainder of our stay. We left mid morning but there was no one of any standing to speak to as we left, as we didn't want to give the impression that there was anything wrong per se. But we couldn't communicate that and so departed, leaving a bemused member of staff behind.
In summary if you want it raw and traditional, then I'm sure you'll like it; but if you want something polished, then no, I'd give it a miss. And as for 4 or 5 stars, I'm sorry I couldn't conceive of any scale where more than 2 or 3 would be an honest reflection.

Stayed here for 7nights. Booked superior room through hotels4u, when reading room facilities it says tv, water garden, comfortable furnishings and modern amenities it had none of the above. The room had no cupboards, no bath but instead an old shower. I fell of the chair twice, bed was as hard as rocks. Breakfast was same everyday, we had 2 ask reception to clean our room after it had not been cleaned for three days. Had to ask reception for toilet paper everytime we ran out. Hotel is in heart of jama el fna so shops and restaurants near by but locals are very rude and didn't not make us feel welcome. When we questioned hotel why they clearly state that room includes tv,all they could say was sorry. Would not recommend anyone to stay in a riad unless you know what to expect or you'll be very disapointed. Hotel only has 5rooms and is more like a 2star then a 4star.

Friendly staff and manager.
Good breakfast.
Clean room.
Two streets from main square but peace and tranquility once inside.
No hard sell of trips.
Good price.
What's not to like ?????

My wife and I stayed at the Riad Des Eaux for 5 nights and overall we thought the place was lovely.

The hotel is located just far enough away from Jemaa El Fna square to make it quiet but just close enough to be an easy walk away (about 2 minutes). Our first impressions on arriving at around 8pm were good - we dropped our bags off and headed straight out to the square for some food. When we got back and had a chance to have a closer look at the room we did find a couple of minor issues:

We stayed in the Zen Cleopatre room and the toilet is only separated by a curtain - there was a bit of an odour but the bathroom was spotless.

The bed is VERY firm - if you like a soft mattress then you might not like it. We had a look in some of the other rooms and all the mattresses are the same....

The room was small but there was enough room for two of us.

Breakfast was great, especially considering what we were paying and consisted of fresh pancakes, bread, jam, butter, boiled eggs, yoghurt, fresh squeezed orange juice and strong coffee. We ate our breakfast at a table overlooking the courtyard. The staff were attentive and very friendly and we got the feeling that nothing would be too much trouble.

Some people have made reference to being woken up by the call to prayer in the morning - yes, you can hear it but what else to you expect??