It's important to know your way around your own town. In case of a minor emergency, like your car unexpectedly running out of gas, you'll want to know where the nearest gas station is. It's also good to know your way around in general so that you don't get lost. While there are now GPS devices and maps on smartphones, those can break, too. So a paper map and a lot of knowledge about your area can both come in handy.
It isn't as needed as it used to be because our smartphones can get us where we want to go, but it's nice to have the knowledge you aren't completely hopeless if you forget yours. People should have at least a basic understanding of the place that surrounds them every day.
It is important to know your way around the city and town you live in to prevent yourself from getting lost. If it is night time it is usually harder to see and notice where you are being familiar with the town/city will make it easier to get to where you need to go.
I believe it is important for people to be aware of their surroundings and understand the layouts of their cities. I believe it is important so you can interact with other people in your community. I also believe it is important to understand how to get places without technology telling you every turn to make.
You never want to wind up looking like a tourist in the event that you are taken advantage of. On the other hand, it's also always good to be one of the few helpful people around the city and be willing to assist people with directions. Always be at least somewhat aware of your surroundings, at least relative to where you need to get to at the end of the night.