The southern town is one of the areas you must take over during mission 6 (Liberation) in Sniper Elite 5. Our walkthrough describes three steps you must take to liberate the area - killing a sniper, destroying the armored vehicle 222 and sabotaging the communication system in the command center.
Eliminating the sniper
You start off mission 6 at the plane crash site on the south of the map. You must head north. The southern town is the first larger location you'll run into, with taking it over being a mandatory mission objective. There are three things you need to do in order to neutralize the defenses.
There's an enemy sniper in the tower pictured above. You can find him and shoot him from a distance of over 200 meters. You can find a small hill right after leaving the forest, which is a great spot to shoot enemy soldiers from.
Destroying the armored vehicle
The armored vehicle 222 is parked by the main road. You can shoot the red cylinders and the barrel next to it to blow them up, but it won't be enough to destroy it.
There's a satchel charge in a building south of the armored car (on the other side of the bridge) you can use later.
You must get closer to the town. The main bridge is heavily guarded and you can encounter enemy vehicles on the local roads.
Explore the area east of the town instead. There's a river crossing there, pictured above. Use it and turn west.
Sneak up on the vehicle from the east side. You can now place the satchel charge on it. It will either finish off the vehicle or expose a weak point at the machine's rear - shoot it with armor-piercing rounds.
You can also get inside the eastern building via the upper balconies and a hole in the roof. There's a secret room inside, holding a workbench and several Panzerfausts. You can use them to quickly destroy the armored vehicle (and other nearby machines).
Sabotaging the communication system
The command center is the town's main buildings - you can recognize it thanks to the flags. Find a crowbar in one of the rooms and head to the building's upper floor. You must destroy the communication system pictured above.
Completing all the objectives described above liberates the southern town from Nazi occupation.