The Shirai Ryu hideout is the three huts right next to a large camp fire by the White lotus temple.

The same huts with the people that say they are the followers of Raiden.

Since this has been answered, I'm closing the thread.

If you want to discuss this topic further, or if you have any other Konquest related questions, please post them in the "Mortal Kombat: Deception Community Guide (Includes Krypt, Konquest and Stage Weapons)" stickied thread.