Actually, it is a reflection of how crappy Middle-earth has become at the time. There really are no towns outside of the Shire, Rohan, and Gondor (there's Lake-Town). Fornost-
destroyed, Osgiliath- destroyed, Tharbad- destroyed, Minas Ithil turned into Minas Morgul, Khazad-Dum turned into Moria. Umbar taken by the…