Top end of the market. Ece Saray, Fethiye, 7 course meal with Turkish music all nite, champagne tower and fireworks, soup at 4am!!
Calis Seafront, Nil Bar and Summer Breeze, will have entertainment and a good NYE meal. English music
Akkent Hotel Calis, I am sure will have music and good food.
Carnival Restuarant/Hotel Fethiye Harbour, great food, not sure if have music, but you could enquire.
Mancero's, Fethiye Kordon, fantastic food, you will have a fab nite (if Christmas Day was anything to go by last year).
There are many more, look on facebook and contact direct. As Turkish people celebrate NYE in a big way, it will be mainly Turkish music/singers. I have been to many and its a fab nite and atmosphere. Turkish people will embrace you into their celebrations.