Understanding Contextual Meaning

Lorem ipsum dolor sit amet, consectetur adipiscing elit. Vivamus laoreet, massa ut sodales ultricies, ipsum nisi facilisis massa, eget blandit nulla justo a purus. In hac habitasse platea dictumst. Sed euismod justo vel aliquet pretium. Aenean tristique eros ac egestas pretium. Interdum et malesuada fames ac ante ipsum primis in faucibus.

In the excerpt, the phrase "in hac habitasse platea dictumst" is used to convey a particular meaning. How can we understand this phrase based on its context in the passage?