Only a short, pleasant walk from the centre of Elounda along by the sea. There are fantastic views from this restaurant across the bay - but be warned, there are some pretty steep steps up to the restaurant! The food was very good and everyone enjoyed their meals. There were some nice touches too such as some dips provided with the bread on the table, and some delicious little cakes at the end of the meal. The service was a little slow, but if you're after a relaxed meal with good food in a stunning location, this shouldn't bother you overmuch!
(But don't count on the street lights having been improved - take a torch, they've been a work in progress for at least 5 years!!!)