Mystic Falls
Based on two references to "A Nightmare on Elm Street" first S1 ep 10 Damon and Stefan rescue Caroline from newly made vamp Logan Fell and tells sheriff Forbes they are on Elm st.. Second S 6 ep 5 Stefan and Caroline arguing in front of a movie marquee with that title about Ivy, Stefans girlfriend turned into a vamp when he tries to start a new life away from Mystic Falls.
A Nightmare on Elm st is about a group of adolescents suffering nightmares and death by the hands of Freddy Kruger who was murdered , burned to death, by the parents of those adolescents for a crime he didn't commit. Sounds like the Cade situation in his village, are the children of Mystic Falls cursed because of the sins of their parents? And or ancestors?
I'm thinking this is the case and Stefan and Damon , the Saint and the Demon, so to speak, are returning to determine salvation or damnation of Mystic Falls by whomever cursed the place or damned them to this "universe"( other than the atypical meaning of the universe it is also defined as the uni- verse, meaning opposite side, or alternate reality) that they can't escape.
I don't think it's just about Stefan and Damons redemption but also all of the founding families and the town itself.
I think Matts "Dad"? If he is, and the family heirloom Sybil wants will be the key to ending this curse. Also the twins and Bonnie the descendants of Salem witches burned at the stake, 100 witches were burned in Mystic Falls, btw.
We're all on our way out, act accordingly.