The Arabian Court at One and Only Royal Mirage is a nice little cozy place that serves Shisha, drinks and Arabic and lebanese food.
The ambience is really good. But the drink I ordered was horrible,
Although they changed it for me later, but I was not happy with it.
However the ambience was too good to affect the mood.
Its not exactly by the water, but u can view the pools and beach by it from some tables.
Its got table seating as well as traditional Majilis seating.