I am not familiar with that locale. Is that supposed to be Tengu Town or just a random East-Asian town/village?
BTW, digging the massive layers of clothing on Reimu and Sanae, makes them look sort-of princess-like IMO.

Well, judging by the ornaments and the prescence of Akyuu, is possible that this is Akyuu's house, so maybe is the human village...an even more fantastic version of the human village.

Or only a random design of the artist, i haven't checked the description so i don't know.

As far as I know humans and even normal youkai are not allowed to set foot on the tengu turf, so probably not.
And the human village is not on a mountain.

Kuji-kiri said:
As far as I know humans and even normal youkai are not allowed to set foot on the tengu turf, so probably not.
And the human village is not on a mountain.

Look closer. They're really in a high-up building.