For as far as I know, Patrick started the Town a while back, however there was a discussion about even continueing building it. I think that for a variety of reasons, it was decided not to continue on it. It had to do with the fact that there wasn’t really any lore supporting the town’s existance. Next to that the terrain around that Area would probably be redone and lastly the resource pack used for it might not be the one used for that area in the future. I don’t know if it will ever continue.
What Roel is basically saying is that the project got shut down due to poor planning, lorewise and rpwise. If I remember correctly he didn't even discuss it with the Head Designer or any of the staff really.
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