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The walled defense of this "village of hardworking mer", "humble common folk" under the protection of Indoril struck me a little odd. I visited the place after leaving Old Ebonheart to travel the eastern Thirr territories. I think this is supposed to be a rather peaceful area, a starter region similar to the Ascadias on Vvardenfell?
In light of this, the defining palisade of Dondril (made out of hundreds of Ex_De_Docks_Piling_01s!) might prove a little too much. Does a mere shack village in Aanthirin really need such a defense?
Vhul, the next hamlet in the south, is a small, compact Velothi village without anything like this. You would expect this in the western mountain settlements, always under attack by Nord and Orc raiders, or at some remote communities in Boethiah's Spine. But this is in the heartland of Morrowind, an Indoril-controlled settlement. There might be another House Wars between Hlaalu and Indoril at the Thirr, but I doubt that this game affects the common Velothi nearly enough to require a palisade for this special place. And in vanilla, not even a disputed place such as Caldera had full and proper walls.
So I was surprised to find a highly protected settlement in one of the most peaceful regions of Morrowind. Is there some reason or explanation to it that I have overlooked?
If not, you might consider to remove or at least reduce the palisade. The resulting space could be used for minor additions (a small garden behind the shack? or similar things). Since a lot of work was put into this and the gates were built with Dunmer shack planks in a unique and quite interesting way, this construction could be kept in mind for other places that really need fortification. Or perhaps the gates and the palisades around the Velothi main building could remain as they are (for control of traders of travellers to Ebonheart?), with the rest of the village opened here and there?
P.S.: I noted this when travelling the Preview, then searched and found that you already discussed this with various arguments pro and contra the palisade back in the day.
Screen from CS:
A quick edit of the southern entrance which keeps the gate construction (for tolls, Indoril registry who travels on the road to Ebonheart or whatnot), but removes the palisade around the village. Dondril keeps an unique aspect, but losts this "frontier settlement" character. Some banners, Dunmeri overhangs and a little more clutter might do the rest.