In my campaign, I took it a different way. I had 30 dwarves show up, small groups of ambassadors from the various kingdoms of Cyradon, and 20 or so human refugees.
I wanted to keep it more desolate, with less people running around.
Also I didn't use the ritual of renewal (tears of life) as I wanted to keep it desolate, and unwelcoming.
So remember, no matter what it says in the book, it's up to the GM.