We present a real-time video delivery solution based on free-space optical communication for underwater applications. This solution comprises of AquaOptical II, a high-bandwidth wireless optical communication device, and a two-layer digital encoding scheme designed for error-resistant communication of high resolution images. Our system can transmit digital video reliably through a unidirectional underwater channel, with minimal infrastructural overhead. We present empirical evaluation of this system's performance for various system configurations, and demonstrate that it can deliver high quality video at up to 15 Hz, with near-negligible communication latencies of 100 ms. We further characterize the corresponding end-to-end latencies, i.e. from time of image acquisition until time of display, and reveal optimized results of under 200 ms, which facilitates a wide range of applications such as underwater robot tele-operation and interactive remote seabed monitoring.