Area 28 is a network of sewers under Kagutsuchi located five areas below Lost Town. The Control Organization have been known to dump most of their waste around Area 28. Arakune spends most of his time around Area 28, when not looking for beings to devour. It is the area with the heaviest magic element concentration, hence why Arakune chose to inhabit this location rather than the higher levels of Kagutsuchi. Several odd life-forms inhabit this area, in fact, including several varieties of insects and jelly-like creatures.
The stage representing Area 28 is located near a large, unknown being with a single eye. The left side of the stage features an open pipe which pours its contents onto the stage itself. An alternate version introduced in BlazBlue: Continuum Shift, named Cocoon -Area 28-, shows a different scenery in Area 28 with a giant, beating heart-like cocoon in the center.
Area 28 is the second-lowest known area of Kagutsuchi and, given its high levels of magic element, may be at the very base of the mountain.
The shadow seen within the cocoon in Cocoon -Area 28- bears some resemblance to the yin (or dark) half of the taijitu, which is closely tied with Litchi.