There are many depressing downtrodden locations such as the Midgar Slums and Lower Junon, but it's not all bad. Peaceful places like Kalm and Cosmo Canyon, the northern settlement of Icicle Inn and of course the ultimate paradise, Costa Del Sol. My personal choice however would be Wutai. Beautiful scenery and a peaceful calm ambience (much to Yuffie's chagrin.)

How about you?