The Elder is the person in charge of all the quests in the small village where you start the game. You first learn about him from Verren, who directs you to an elder in the hope that you can complete three tasks and get a horse and a cart. Unfortunately, Verren doesn't mention where this guy is.
However, Verren says - and it's easy to miss - that the bartender can tell you the exact location. Talk to the bartender, who will tell you that Elder Odar lives in the local village council near the market.
Exit the bar and go down to the market. To the right of the market there will be a large building with a fenced area with a lot of chickens and roosters. Enter the building where you will see a bunch of guards sleeping in bed and sitting at a table. At the back of the room is a staircase leading to the second floor. Climb the steps.
On the second floor, you will see an old man sitting at a table - this is Elder Odar.