The unusally long ladder doesn't lead too the ground - it stops at the top of the head-with-feet.
If you zoom in on the pink pool, you can see that it's a hot-spring. You go in it and get full-health.
This is a world from Earthbound that I wanted too make into a Graal-like level, hence the problems with the cliffs. I'm not too sure how I could give them the same effect with the Graal tile-set, and was wondering what you would suggest.