And SH4 wasn't supposed to be a SH game. It was Konami's decision to shoehorn in the SH stuff, not Team Silent's. I don't blame them for that clusterfuck.
Uh, whut?
http://games.kikizo.com/features/konami_interview_sep04.aspTsuboyama: We wanted to make a sequel after Silent Hill 3 and you could say that was the initial concept, but upon that we needed to implement a lot of new flavour to the sequel, otherwise it would have been the same old Silent Hill. So for that, we created "The Room" as the concept for the game, so that we could use to represent the contrast between the normal and the abnormal life which changes suddenly. For the scenario we got our general influence from a book called Coin Locker Babies, which was written by a Japanese writer called Ryu Murakami. It talks about a baby abandoned in a coin locker. That was the general background.