The Ghost Den is a small valley area with steep walls, leading uphill and curving round to the right towards a dead-end. At the end of the 'den' there are numerous skeletons, both human and animal.
Arriving here at any point with Follows-Chalk or Waking Cloud in your party, they will say that they always wondered where this den was, but were never brave enough to look for it.
Although Ghost Den is the home of the unique yao guai Ghost of She, the player will only encounter her here after drinking a special tea received as part of the quest Rite of Passage. Several other yao guai will be in this area only during the quest.