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I decided to walk from Ald Velothi to Khuul to catch a boat to Dagon Fel for a Fighter's Guild quest. Reach the Silt Strider but... no Khuul. Nothing. No houses, no ships, whole town is just... not there. Minimap says it is, but there's nothing. I am playing Xbox GOTY, so no mods or console commands involved. Didn't fast travel, straight up walked from Ald Velothi via an Ashlander hut on the way. I recorded the moment for posterity (excuse the terrible video, I was on my phone and didn't think to put it horizontal >.>)

I've never seen this glitch before or anything like it in all the years of Morrowind I've played. I saved and reloaded, and Khuul came back, so all is well again. But a pretty spectacular cock-up on the game's behalf.

That's really odd. Haven't experienced that before.

Like the game just forgot to render the town

That's a first for me. There are known asset glitches where elements fail to load, but rarely an entire town. Pelagiad is particularly notorious for this. I've seen the castle load only bits and pieces and seem to lose its solidity - guards fall through the ramparts frequently. Usually solved by a quick reload. Nice footage, though.

Used to happen to me in Oblivion sometimes. The wooden huts in Chorrol had a tendency to vanish sometimes. I guess it's just a rendering glitch.

Morrowind is a notoriously glitchy beast, so one or two things going missing wouldn't surprise me either. But a whole town, it's a bit much =P

It was funny because I haven't been to Khuul that much so didn't have a good memory of the town anyway. Got to the Silt Strider and he's like yeh this is Khuul docks and I'm like yeah bro but where's Khuul, this looks like the right place for it and there's nothing here, and then it dawned on me to look at the minimap and yeah, it's gone.

Never had anything go missing so massively before, and this file has been running perfectly glitch and crash free until the Khuul hiccup, so it was rather out of the blue.

This is quite odd indeed, I don't think I've ever seen anything similar like this happen before. Unlike most people here, I've rarely seen any suddenly disappearing objects while playing Morrowind over the last 12 years. With the exception of the Pelagiad fort gates of course, sometimes those won't load in until you're right by the bloody things. Could be a rendering glitch, as Legoless mentioned, I think vanilla Morrowind loads the terrain first for up to three exterior cells away and then loads the buildings and miscellaneous objects as you come within 1-2 exterior cells.

Or it could be a glitch unique to the Xbox perhaps? I've no experience with that platform when it comes to Morrowind, but it would be interesting if someone could replicate this on the PC. Either way, an entire city disappearing is quite strange.