For one of the quests you go back in time before the titan attacks. Rivers are blue and trees bloom. Why not make a new dragonspyre and have it be like its old self. We now the schools used to be there and learn that the teachers were kidnapped. Why not replace it all?
I had the same idea about the Dragonspre past thing, my idea went something like this though:
1.) Dragonspyre B.C.: Part of "Dragonspyre Time Crystal"
A world that can be accesed after breaking off a piece of the Dragonspyre Time Crystal and equipping it to a spiral key.
This world would be ruled by the dragons and dinosaurs at the dawn of dragonspyre's history, before humans had taken over.
2.) Dragonspyre Civilization: Part of "Dragonspyre Time Crystal"
A world that can be accesed after breaking off a piece of the Dragonspyre Time Crystal and equipping it to a spiral key.
This world would be Dragonspyre in all its glory, before the Dragon Titan was summoned and invoked its wrath upon the world and reduced it to ash.
In this world you would be able to learn the ancient magic known only to the people of Dragonspyre. You would be able to enlist as a student in Dragonspyre academy under your school. And you would be able to take part in the battles spoken of in the history books.
Finally, as the climax to this world, you would be asked to take part in the "summoning of knowledge" where you and high-ranked wizards of Dragonspyre accidently summon the Dragon Titan.