Alton Bay is also the oldest Imperial settlements on the mainland, marking the place where the first civilized beasts made landfall. Very early on, it was merely a sheltered cove that the occasional vessel would make berth in, often to careen or collect supplies, though most did not linger long due to the presence of "primitives" lurking in the woods. Day Arndt Pritchard famously abandoned ship here when one of the fist Naval vessels dropped anchor in the bay.
Years later, a proper colonization party to the Cahntinent arrived, the result of the great expansionary efforts of the Vulpine Imperium, which in turn was the result of thinking, "If we go really really far away, maybe we'll get stuff for free." By the time they reached the Bay, the settlers had lost the one beast which knew how to signal to the Missertross birds, and the colony thus spent three generations in utter isolation, believed to have been killed by a giant purple snake monster.
When the colony was rediscovered, by a half-delirious Missertross and it's angsty young owner, Cornelius Alton (the product of many a play and tale), it was found that the theory earlier held ("If we go really really far away, maybe we'll get stuff for free.") had entirely missed the point (ie. what will we do with all this free stuff, and where will we get the stuff that is not free?). Alton Bay, however, lives on. And they weren't all eaten by a giant purple snake monster, so the world really does seem a better place.
Aside from certain superstitious similarities between Alton Bay and Drustan Wood in regards to giant monsters, the town is free of any real trouble.