Preheat oven to 350 degrees.
Place pistachios and walnut on a large baking sheet and toast in the oven for 6-8 minutes or until fragrant. Let cool and then finely chop.
Place mini phyllo cups on a baking sheet and set aside.
Place the chopped nuts in a medium bowl and add lemon zest, 1 Tbsp. granulated sugar, cinnamon, salt, butter and vanilla extract. Stir together with a fork until well blended.
Fill each phyllo cup with 2 teaspoons of the nut mixture until all of the mixture is gone.
Bake for 10 minutes.
While cups are baking heat the water, honey and remaining 1 Tbsp. granulated sugar in a small saucepan over medium heat. Bring to a boil. Reduce heat to a simmer and cook for 10 minutes, until the mixture slightly thickens.
Remove the cups from the oven and pour one teaspoon of the honey mixture into each of the cups. Serve immediately.