A standard roleplaying environment: the tavern. This is another easy one to create in your own home, providing you have a large enough group of roleplaying friends. Let us assume your PC group is no larger than five, and that the rest of your friends can be NPCs. Let us also aim for an exceptionally seedy and unscrupulous city tavern.
In a good LARP it is desirable to separate the players out individually at some stage, because they are more suggestible and afraid when they are alone. Some form of individual challenge is probably the best way of doing this. One possible setting for this is a cave system, and it is probably one of the easiest to recreate realistically, and one of the most perfect for playing on fears of claustrophobia and darkness.
It seemed like a great place to camp. The clearing was good sized and sheltered from the wind. The brook just a few feet away. There is a natural hallow to keep the horses.
Then the night came.
It was like it became a different place. The temperature dropped. The wind, which does not seem to disturb cloth, almost cuts through you like an arctic wind. No one can sleep, as the soft ground has turned hard. The horses are uneasy. The Bats are flying over and stopping in the trees.
And then there is the eyes. There are glowing eyes just inside the tree line watching your group. The mages and clerics can detect nothing, but there is still something there.
(yet there is nothing at all... The Darkness will do nothing unless the players do something to it. And even then it will all seem to be a conincidence.)
Of course, in the morning, it all becomes sweet and light.