It was common belief in medieval times that goods and property could only be affected by the Fair Folk, the faeries, if it was acquired unlawfully or unfairly.
The gold hoops and rings that sailors wear are to throw into the sea if there is a storm. These are bribes to the sea gods to let them live through the storm.
Once a year, the king steps down from his throne, and lives as a peasant for one day, the next day is the anniversary of his coronation, and it is celebrated by a reenactment of the ceremony. This is doubly beneficial, firstly, because the people are able to have the grand parade that always precedes the ceremony. Secondly, because the heir to the throne is given a day on the job every year. Although, apparently, the thought has not yet come to one of the kingdoms enemies, the assassination of the king during the renewal coronation would be a moral, as well as a political blow to the kingdom.
The small coastal town of Her-Desh has vanished - the bay where it once stood is now unspoiled countryside. Moreover, the locals claim to have never heard of the place. Perhaps the Priests of the local Temple can shed some light on the mystery...