At the time Revelation was written, Vatican hill was outside the city of Rome. The word in Rev translated “hills” actually means “mountains” anyway.
The Vaticanum or Campus Vaticanus was originally a level area between the Vaticanus Mons and the Tiber. During the Republican era, it was an unwholesome site frequented by the destitute.[9] Caligula and Nero used the area for chariot exercises, as at the Gaianum, and renewal was encouraged by the building of the Circus of Nero, also known as the Circus Vaticanus or simply the Vaticanum. The location of tombs near the Circus Vaticanus is mentioned in a few late sources.[10]
Vaticanus Mons came to refer to the modern Vatican Hill as a result of calling the whole area the "Vatican" (Vaticanum) through its identification with the circus. Christian usage of the name was spurred by the martyrdom of St. Peter there.[11] Beginning in the early 4th century AD, construction began on the Old St. Peter's Basilica[12] over a cemetery that is the traditional site of St. Peter's tomb. Around this time, the name Vaticanus Mons was established in its modern usage, and the Janiculum hill was distinguished from it as the Ianiculensis Mons.
Another cemetery nearby was opened to the public on 10 October 2006 to commemorate the 500th anniversary of the Vatican Museums.[13]
Christian history
The Vatican Hill was included within the city limits of Rome during the reign of Pope Leo IV, who, between 848 and 852, expanded the city walls to protect St. Peter's Basilica and the Vatican. Thus, Vatican Hill has been within the walls and city limits of Rome for over 1100 years. Until the Lateran Treaties in 1929 it was part of the Rione of Borgo.
Before the Avignon Papacy (13051378), the headquarters of the Holy See were located at the Lateran Palace. After the Avignon Papacy the church administration moved to Vatican Hill and the papal palace was (until 1871) the Quirinal Palace, upon the Quirinal Hill. Since 1929, part of the Vatican Hill is the site of the State of the Vatican City. However, the cathedral of the Bishop of Rome, the Pope, is not St. Peter's in the Vatican, but Basilica di San Giovanni in Laterano, which is extra-territorially linked, as indicated in the Lateran Pacts signed with the Italian state in 1929, with the Holy See. (http://en.wikipedia.org/wiki/Vatican_Hill