Hill certainly would not directly take action against Neverwinter City.
He belongs to the Kind Alignment and abides by the rules. Unless provoked, how could he make such a dreadful decision?
Neverwinter City does not yet qualify to make him change his alignment.
But the reason Neverwinter City seems quite important is because merchants heading to Icewind Valley must hire adventurers in Neverwinter City to pass through Luskan.
Tens of thousands of high-level adventurers are one of the reasons why Neverwinter City is so prosperous; otherwise, relying solely on its skilled carpenters and artisans, it wouldn't be as flourishing as it is now.
As for Tyr and Heim, they only emphasize the temple located in Neverwinter City because they need to oppose Bane from Luskan.
If the Undead Tribe cleared Luskan...
The region of Luskan is most suitable for opposing evil forces. Previously, elves established a defense line between Luskan and Neverwinter City to fend off the half-orcs.
