How about this idea for a final sequel?

We start off with the main character dreaming about Freddy. Freddy kills the person, only for the person to wake up and find that they're still alive and not even wounded. Freddy is in fact still dead, and the character was only having a normal nightmare about him, hence why he/she didn't die. The character is not on any meds to suppress dreaming, because Freddy's spirit has been rendered unable to exist in the subconscious of anyone anymore (Those who've never had an encounter with Freddy before, but who've only heard about him or knew him before he was burned), EXCEPT for a small group of monitored patients in the only remaining sleep clinic in Springwood!.

Basically, the patients in this secret hidden clinic are those who've actually had true encounters with Freddy, and who still have memories of him. They are being watched by a team of doctors and scientists who run a new type of equipment designed to place patients in a coma for safety and for studying. The hope is that they'll be able to figure out how to stop any more attacks from occurring, and allow the patients to leave the clinic finally without the need for medicine. The clinic is a way to completely delete Freddy from the patients' subconscious...

Now, this is where incorporating Robert Englund's idea would work!

For all of the characters who've only heard about Freddy, or only knew him before he was burned (I might just stick with the main character only for these dream scenes), they dream of him in a different form, slightly altered version of how we as the audience know him. Different types of burns, hats, sweater patterns etc. Now this is only for a couple of small dream moments, because the movie can't afford to be too gimmicky. So one or two dream scenes with an altered idea of Freddy, then we move to:

A hair raising nightmare at the clinic sequence where Freddy has managed to revive himself and take control over one of the patients through some negligence. The patient shuts down the machine controlling the sleep of the others in the room, and they all wake up completely. While they are now finally awake, they have to bare witness to the brutal murder of the doctors who've been helping them all this time. I haven't figured it out entirely, but my idea is that the doctors have somehow fallen asleep or been put to sleep (Twisted reversal of events!), and the once sleeping patients now watch the massacre of them, while an unseen Freddy takes them out! 6 or 7 doctors are killed, and this marks Freddy's first true kill scene in the movie.

The control room and parts of the clinic are crimson red with blood! Blood drips into the control panels and causes even more malfunctions and crackling and sparks. The patients escape the clinic in a mad dash!

Once free, the patients begin to remember where they once lived, and they group together and try to locate their homes, only to find that many of them are now abandoned. They also notice that much of Springwood has been built upon with new sections of the neighborhood added, and that the police force appears to have never heard of Freddy Krueger.

However, one retired police officer does in fact remember Krueger, and was present during the attacks on Nancy and her family and friends.

The patients try and stay alive for as long as they can, considering the clinic operation failed, and considering that there appears to be no more Hypnocil or versions of the drug available anymore. The entire drug has been banned and destroyed.

My main characters are the small group of patients, aged from mid 30's to early 50's, the police officer from the past (Maybe Joseph Whipp as Sargent Parker), the doctor who originally helped create Hypnocil (Someone in their 70's or 80's, maybe a fun cameo by Tom Atkins), and a couple of remaining parents of the original victims who still live in the neighborhood. Maybe one or two teenagers so that we have a pinch of the high school element and that we fear for their safety.

The finale would take place in the neighborhood houses and out in the streets, with some fog added for atmosphere, similar to the ending of the original movie. There's a moment when some of the characters get lost in the fog, and Freddy's glove slowly appears through it to slash at them. I have one character getting the back of their neck slit, with us only seeing Freddy's glove and the back of their neck. Brief shots of his glove causes little slices to injure and mess with the characters while not yet killing them.

The still alive characters have high tech wrist watches with tracking devices on them, and are able to find each other even in dreams (Got to figure this one out). There is an item or dead body located in a certain location in the town that they need to find in order to finish Krueger once and for all.

The main character uses some device in the clinic to monitor the characters and help track them in their dreams.

Now, the big twist I'm kind of going with is that in order to finally kill Freddy, almost all of the characters need to die! Freddy still exists within their minds, and while his power has been greatly reduced, there's always the small chance that they could influence new victims or somehow be used as a conduit for Freddy to pass from them to other people.

Near the end, most of them are killed, and there's only three remaining characters. Two of them in the dream, and one of them awake and monitoring and tracking them. Haven't figured out if the characters will be in the clinic again to go into sleep mode, but that might make sense if the equipment is back to working again.

In the dream, whatever item they've located, helps them open some type of void, which begins to suck in Krueger and de-materialize him. As Krueger is being sucked in and erased permanently, he actually manages to grab one of the characters and slit their throat in what I've imagined to be a shocking moment. Kind of a "Gotcha, I got one last surprise kill in!" sort of moment.

Freddy is gone, entirely, and the remaining sleeping character is woken up in the nick of time.

Part of me wants the main character to hop into the dream with the others near the end, not by any mind power, but by use of the sleep machine in the clinic, but I'm not sold on that idea yet, but maybe they hold the key. It would help put the main character in jeopardy, which is much needed. Also, I think having an older character kill themselves might be interesting, if the character tells the group that he/she has terminal cancer and that it doesn't matter if they live or die, he's/she's not going to let Freddy kill them.

So that's the basic idea I'm going with, minus some edits.

I think a true sequel with Robert back is much needed, and I think having someone get killed in the dream, only to wake up fine and alive would be somewhat new to the series. Having Freddy's targets be limited would also be good, as long as we care about the characters of course, and it would be nice to see a cameo from someone from the original movie perhaps. Maybe Fishburne from part three could have a cameo or small role as a doctor...

Death scenes wouldn't be too over the top, but closer to the first two/three movies, darker in tone, with Freddy in the shadows and saying less dialogue, less cheesy lines.

Also, we could have one of Robert's original ideas in this too, with a character looking at microfiche in a library to find old photos of Krueger before he was killed/burned. Maybe the character is given actual new footage or finds that footage online and we get to see mock footage from the 70's of Krueger leaving jail, hopping into a car with some, maybe a lawyer and driving off while people protest. Black and white footage, or colored grainy footage.

What do you all think? A lot of writing here, I know LOL.