There is an argument that can be made that Base Camp grew up around the Arcane Notions shop. Years before the War Against the Night, Dawn and her wife, Twilight , opened an Arcane Notions shop selling small magical trinkets to the various people passing through the woods.
When War Against the Night happened, the elven couple placed wards on their shop, and took refuge at theBastion of Enduring Light. When the war ended, they returned to find their beloved forest gone - sacrificed for the war effort. However, the wards they had placed stood up. With nothing else, they re-opened.
In few short years that have passed, their shop became known for buying and selling magic. Then other merchants set up shops around the Notions shop. Soon, Dawn found herself selling far fewer music boxes and wind chimes, and far more elemental charms and healing potions. Twilight on the other hand, has found herself the de-facto mayor of Base Camp.