Almost any villain that goes "Hey you, I will kill you all! Muwahahahahahaha!" is pretty much guaranteed to be a low caliber villain (unless they are purposefully raising the stakes of their game, in which case they are merely insane).
Hmm perhaps I give them too much credit, but I'm of the opinion that rampaging in town would get her killed pretty fast. Outside she fights maybe two-three soldiers on average at a time, and she got close to losing more than once. In town she would be fighting maybe one or two hundred, plus artillery attacks. I'm sure she could make a mess, but it would be a horrible tactical move.