Look at these two examples:
Nous y passons tous les soirs.We pass there every night.
Notice that to refer to a place previously mentioned in French, you use the pronoun y ('there').
Note also that "y" is placed before the conjugated verb.
Look at how "y" can replace locations introduced by the following prepositions: à, sur, chez, dans :
Tu vas à l'école ? - Oui, j'y vais.Are you going to school? - Yes, I'm going there.
Paul est arrivé à Paris hier ? - Oui, Paul y est arrivé hier.Did Paul arrive in Paris yesterday? - Yes, Paul arrived there yesterday.
Elle a posé les clés sur la table ? - Oui, elle y a posé les clés.Did she put the keys on the table? - Yes, she put the keys there.
Tu passeras par chez elle ? - Oui, j'y passerai plus tard.Will you pop by her place ? - Yes, I'll pop by [there] later.
Qu'est-ce que tu mets dans cette boîte ? - J'y mets mes bijoux.What do you put in that box? - I put my jewellery in there.
Depuis quand habite-t-il chez Laurent ? - Il y habite depuis janvier.Since when has he lived at Laurent's place? - He's lived there since January.
You cannot replace the expression "de + a place" by "y". You will always use "en" instead:
Il vient de la piscine ? - Oui, il en vient.Is he coming from the swimming pool? - Yes, he is coming from there.
See En can replace de + [phrase] (French Adverbial Pronouns)
and more advanced cases with Y can replace à + [thing/object/location] (French Adverbial Pronouns)
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