While every settlement can have Hamlets in their hex, cities and metropolises can have villages and small towns as well. These larger developments are treated in the same way as hamlets, they are administered by the main settlement, and the main settlement collect taxes and picks up all the expenses associated with them. They cannot be independent strongholds.
Village - A city or metropolis can develop some of their hamlets into villages, although there is a limit to the number of villages that can be developed in this way - and there is a cost associated with it.
Cost - it costs 1 BP to upgrade a Hamlet to a village
Limit - a City or Metropolis may have 1 village per 50 Size points of the main settlement.
Restrictions - the Village must adhere to all the rules normally applied to villages.
Small Town - A metropolis can develop some of their villages into small towns, although there is a limit to the number of towns that can be developed in this way - and there is a cost associated with it.
Cost - it costs 1 BP to upgrade a village to a town, and then there is the standard ongoing consumption cost for a small town (1 Consumption per campaign round)
Limit - Metropolis may have 1 Small Town per 100 Size points of the main settlement. This is in addition to the number of villages allowed in the previous section.
Restrictions - The small town may never grow larger than a single district..