The arena for the ordeal was built underground the school — based on a randomly generated land, its terrain would be changed twice a year, constructed from the information gathered outside of the walls.
This world was home to an endless variety of deadly beasts and plants. The most powerful of them were the mysterious mythical beasts, which could mimic the surrounding vegetation and invoke a special kind of horror. They would never show up unless provoked or hungry.
Due to safety reasons, only low and basic rank beasts would be captured by the LAD and brought back to the arena.
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And let me know in the comments what arcs you want to see. :)