She is heard by Taryn who tries to find her, instead finding herself in an alley.
A wall appears behind her, trapping her, with 'Taryn and Freddy' in a heart sprayed on it and a neon sign display, 'Jake's Bar.'
Taryn is shocked by Freddy who say's "Welcome Home....Look familiar?" Taryn decides to challenge Freddy, "OK, asshole, let's dance." Taryn uses flick knives to fight Freddy, stabbing him in the stomach.
Freddy asks why they are fighting when they are old friends and holds his hands up to reveal syringes of blue liquid instead of blades, "Let's get high."
Taryn backs away, as the injection marks on her arm begin to hungrily expand and contract like sucking mouths, distracting her. Freddy lunges at her and plunges both sets of syringes into Taryn's arms. Pinning her to the wall and causing her to overdose, he throws her aside, dead. Freddy declares, "What a rush!"
Will finds himself in a long passage way. He calls out for the others, hearing Freddy laugh. He turns to find a wheelchair, but more a nightmarish version of his own wheelchair, which has grown spikes. Freddy remarks, "It's the chair for you, kid!"
Freddy invites him to sit, reminding him he will be back in it when he wakes up. The chair chases Will causing him to fall. He calls on his "Wizard Master" powers. Rising to his feet, Will shouts, "In the name of Lowrek, Prince of Elves, demon begone" and blasts Freddy with green light. He runs towards Freddy who grabs him.
Saying he doesn't believe in fairy tales, he plunges his blades into Will's chest, killing him too. Kristen continues her search for the others, finally finding Nancy. The wall to the room begins to break and Kincade is revealed, using his super strength to reunite them. They embrace and Kincade shouts for Freddy. A door to the boiler room appears behind them. Nancy leads the way down a spiral staircase to search for Freddy. Meanwhile, Neil and Donald finally reach the centre of the salvage yard. Donald directs Neil to a red caddy.