>>8897778>>8897831>>8897835Original anon here. As said, there was a map in a Lego magazine that featured both the Dwarven Lands and Elf Lands - the dwarves made it into the second wave though the line was cancelled afterwards. When this came to light it was largely dismissed as just something put into the map to make it more interesting and give children ideas for other adventures they could create. However, while I was digging through Mike Rayhawk's website (long-time Lego artist, was once based in the concept art department from 2002) to add to my archive I came across this
http://mikerayhawk.com/2016/playthemes.htm>Following Knights Kingdom, we finally got to do the fantasy castle line I'd always dreamed of>I was a little disappointed the line didn't last long enough for us to get elvesSo it looks like there were going to be elves released before Lego went for The Hobbit license, which is really unfortunate. I agree with the other anon that the series 3 Elf CMF was most likely made from recycled concepts for the line as Lego is known to hold onto concept art and recycle it years or even decades down the line.
>how about the unknown enemy factionThat is pure conjecture on my behalf. As each wave introduced new allies and enemies, I think there was a good chance there were new enemies planned as the design team had been trying to pass a fantasy castle line for years and clearly passionate for it.