This is Victoria street and the Grassmarket at the bottom.. and no its not a market that sells grass. I have no idea where the name came from. However that structure at the bottom of the road that the light trails turn around is the former location of the gallows where public executions used to be held. There is a pub just across from it called 'The Last Drop' with a hangman's noose for a logo. Presumably people had their final drink there before being hung.
You can also see George Heriot's school lit up in the background. Commonly believed to be the inspiration for the Hogwarts school in the harry potter books.
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