and also the closet,
A dear and lost friend,
and a friend from your home.

That's gotta be when you take the Orthopaedic underwear from Tifa's closet, and I'm guessing that "he" is Sephiroth and the lost "ark" is the reactor and I'm guessing "meeting him" means after he goes A.W.O.L so I would guess that it's when you go down to the basement in Cloud's past but I can't seem to get it to fit with the rest of the riddle....