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Lamorte:
I'll try to help.
First, you need to destroy all the buildings in the town, after which a forge will appear.
Next, you need to wait a week, return to the town, hire ghosts in the forge, and then you can start building the town.
You can only build two types of towns:
1. The town that was there before.
2. The native town of the visiting hero.
The exception is the hero named Zedit; he can build any type of town.