You aren't crazy, that is the right room where the dots lead into (there is an iksar statue in the room), and you are just having bad luck with popping named epic mob Modani. I advise killing/clearing inside and outside the building. Modani roams outside the building iirc.
Modani drops a robe so some jerks probably do clear him...
And for your sanity, clear the building and nearby area for imitator including Kly. He might be charmable.
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