At the moment our team at CASA are working on a digital model of Stratford, the main location of the London Olympics 2012. Developed from a 1 metre digital terrain model and 1 metre LiDAR the model is gradually gaining a sense of location and place. This is all important as once a certain level is reached a digital model begins to gain a level of realism.
Central to this has been the addition of air photography, as soon as a photograph is draped on the roads and the roof tops the model moves to the next level. At the moment we are using 25cm imagery with 12cm following shortly thanks to the Ordnance Survey.
The value of good quality aeriel imagery should not be under estimated in the construction of virtual cities, if you can combine air imagery with street level detail and facades you are half way to a decent model.
A movie of progress to date will follow soon, note all images are work in progress.