I was playing Wario Land 4 and this idea popped up in my head: Is it possible that Hotel Horror is located
in Crescent Moon Village?
Because in the outside part of the Hotel Horror level are some buildings that look like those seen in the background of Crescent Moon Village, and the moons of both levels are almost identical to each other.
Yep, I believe it is. The backgrounds show the haunted hotel is clearly in Crescent Moon Village.
And no, it's not laziness. Look at those backgrounds again. The one from Hotel Horror is redrawn and shows what appears to be the village at a sort of dusk like time. The buildings look very different in general too.