I say just a developed country, a medium-large city where there is almost zero unorganised crime.
1. A medium large city has fewer large skyscrapers and potential terrorist sites entertaining tourist attractions than a metropolis. I think that this game would benefit from having a plenitude of interesting locations.
2. With no unorganized crime, the police will swoop in and arrest most of us for carrying illegal weapons. So far, what basically everyone else has agreed on is that having the police show up when all you have is a combat knife and a revolver is not going to make the game entertaining or worthwhile.
We need a place where we can slip under the radar until we can actually deal with law enforcement. At that point, we need them to actually pose a threat. In other words, we need a city with a large police force that's currently busy handling the populace. Setting the game in a metropolis would provide a population large enough to occupy the police, many interesting locations, an increased likelihood of locating illegal firearms, and enough space that the squads could all do their own thing without accidentally stepping on each other's toes.
What about a well-developed city with low-level organizied crime. Just a couple gang.
That's probably a good idea too, if they were very small street gangs. I agree with Archangel, too. I'm not sure what constitutes mid level unorganized crime, but it sounds unorganized.
I'd like to point out that this is a very apt description of a country like Colombia. A few very modern cities (high rises included), large swaths of wilderness, varying terrain types, large organized crime syndicates fighting each other, a semi-corrupt authority big enough to fight the syndicates but not big enough to win, loads of unorganized crime to fill the gaps, well funded foreign interests, valuable resources to fight over, and monkeys and palm trees for ambiance.
I'm not saying it has to be Colombia, but that's pretty much the best sort of place to set a game like this. Let's face it, we're going to be trying to topple other powers by way of violence, but it has to be a place worth fighting over. If the game is going to at all attempt to be realistic, that kind of location is as good as it gets.
I have my song.
Wow, people still listen to Kamelot? I remember when I listened to them in, like, junior high. Rhapsody, Helloween, all those doodle-in-the-black-notebook, story-metal, middleschooler bands.