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Place half of watermelon in a food processor and process until smooth. Pour into a 9x13-inch glass baking dish. Add remaining watermelon to the processor along with honey and lime juice and process until smooth. Pour into the baking dish, stir until combined, and place uncovered in the freezer. Freeze until ice begins to form around edges of pan, about 30 minutes. Rake with a fork to break up large ice clumps; return to freezer; continue stirring about every 30 minutes until all liquid is crystalized, about 3 hours total.
Using a large fork, flake granita into bowls or into an airtight container to freeze up to 1 week. Serve garnished with mint or basil, if desired.