Fairies used to live in the Lost Forest along the Lost River: A very hidden place close to the northern shore of Unur. Detached from all other races, intending a life in isolation, Queen Sidhe - Majesty of the Leaf, was the matriarch of the Fairy nation and ruled from the Ivory Tower. As time went by, the lands became more and more polluted, the rivers became poisoned and the soils infected, destroying the Fairies' Natural habitats and causing their extinction. Queen Sidhe assumed it was all caused by the Dwarves at Haugur river, back when King Fafnir's steel mills were producing weapons day and night, pushing their waste into the waters.
But despite their arrogant initial attitude, Fairies will learn to admire your city and as you provide them with better tools and materials for their new settlement they will share their magical knowledge with you as well as their ancient battle units. Fairies love to dress well, so they will bring into your city their own Silk Manufactories so that the produced fabrics are up to their higher standards. You will also discover that Fairies used to have a lot of fun in the old world, so you will be amazed at the recreational buildings they will help you to bring back to your city, converting it into a fun and colorful place to live.