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Toyota's City of the Future, Mega High Schools, Indonesia's Superblock, Air Taxi Leaders

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Editorial Staff
June 16, 2025

 

Here’s our latest roundup of the news and trends shaping the future of cities and urban development.

You Should Know

  • New home prices in mainland China fell for the 24th consecutive month in May despite Beijing’s stimulus efforts. The property slump is hitting the population hard, as real estate is the primary vehicle for storing wealth in China. 90% of Chinese households own their homes.

  • Even for Big Tech, Amazon's data center investment announcements over the past couple of weeks have been staggering: $13 billion in Australia, $20 billion in Pennsylvania, $10 billion in North Carolina.

  • Bidding is currently underway for the project management contract on Riyadh’s 19-square-kilometer “North Pole” business district, which will include the proposed 2-kilometer-tall Rise Tower—a skyscraper expected to become the world’s tallest, standing four times higher than the Empire State Building.

Worth Watching

Toyota's Woven City in Susono City, Shizuoka Prefecture, Japan.

Toyota's Woven City: Prototyping the City of Tomorrow

At the base of Japan’s iconic Mount Fuji, Toyota is building one of the most ambitious urban experiments in the world: Woven City. Envisioned as a “living laboratory,” this prototype city will be a real-world testing ground for next-generation technologies—from autonomous mobility and smart homes to robotics, artificial intelligence, and renewable energy systems. With a projected cost of $10 billion, it represents Toyota’s boldest bet yet on the future of urban living.

Woven City gets its name from its unique infrastructure layout. The master plan—developed by renowned architecture firm Bjarke Ingels Group (BIG)—literally “weaves” three types of streets together: one for autonomous vehicles, one for bicycles and scooters, and one for pedestrians. This approach not only prioritizes safety and efficiency but also promotes a calm, walkable, and people-friendly environment. The entire city is designed to support experimentation in mobility and urban design.

Construction began on February 23, 2021, on the site of Toyota’s former Higashi-Fuji plant. Phase 1, which includes housing for around 360 residents, was completed in October 2024 and has already earned LEED Platinum certification for its community-wide sustainability standards. The first ~100 residents, made up of Toyota employees and partner innovators known as “Weavers,” are expected to move in by fall 2025. Site preparation for Phase 2 is now underway, with plans to eventually accommodate around 2,000 residents.

Every home in Woven City is a smart home—equipped with sensor systems and domestic robots to support residents’ health, automate chores, and optimize energy use. These homes will collect real-time data (with privacy protections in place) to help Toyota study how people interact with technology in everyday life. Sustainability is a central pillar of the city’s design, which is powered primarily by hydrogen fuel cells and solar energy.

Beyond mobility and energy, Woven City will be a proving ground for urban services of the future. Delivery bots, robotic assistants, and AI-powered infrastructure will all be tested in live settings. Rather than a fixed project, Woven City is envisioned as a 100-year evolution—a platform that will continuously adapt as technology, urban design, and society change.

Mega High Schools Rise in the USA

A clear trend has emerged in public high school construction across the U.S.: when communities can afford it, they’re going big. Increasingly, school districts are investing in mega high school projects—ambitious new builds designed to serve thousands of students and cost hundreds of millions of dollars.

On the East Coast, two notable projects stand out. The $662 million Lexington High School project—set to begin construction in 2026—will serve approximately 2,400 students and include a new school building, renovated field house, central administration offices, and rebuilt recreation fields. In Stamford, Connecticut, the $446 million Westhill High School project will deliver a 460,000-square-foot facility designed to accommodate around 2,300 students. The campus will include a new gym, library, cafeteria, and a $20 million natatorium.

Out West, Salt Lake City is investing approximately $600 million to rebuild West and Highland High Schools, which together serve about 4,500 students. These modern campuses will feature shared classrooms, new gyms, cafeterias, science labs, and career and technical education spaces. In Dublin, California, the $374 million Emerald High School is rising on a 23.5-acre site. Its expansive design includes two academic towers, cutting-edge science and tech labs, a student union, 2,400-seat gym, lecture hall, visual and performing arts center, tennis courts, track, multi-sport field, and swimming pool.

Why are mega high schools on the rise? In short, scale brings cost efficiency and expanded opportunity. By consolidating schools or expanding campuses, districts can reduce administrative costs. These large schools often feature state-of-the-art STEM labs, performing arts centers, athletic complexes, and sustainable infrastructure—enhancing student engagement and community access. Their size also supports more academic offerings, including programs for gifted students, those with special needs, and students pursuing vocational education.

No surprise—financing is the key enabler of these large-scale projects. Funding typically comes from a mix of municipal bonds and state reimbursements or grants. The primary source is often local property tax-backed bonds approved by voters. To raise these funds, school districts issue general obligation bonds, allowing them to borrow significant sums for construction and repay the debt over time—usually through incremental property tax increases. For example, Salt Lake City’s mega high school rebuild is being funded through a voter-approved bond measure.

Indonesia Is Building an Entire City in One Superblock

Indonesia is building a city that embodies the principles of vertical urbanism—consolidated into a single mega-block. Rising in Batam, Meisterstadt (German for “Master City”) is a “city within a city” that integrates residential, commercial, educational, medical, and leisure components within a compact footprint.

Also known as Pollux Habibie, Meisterstadt is a fully integrated urban ecosystem. Spanning nine hectares, the $1+ billion development includes eleven towers: eight residential high-rises containing thousands of apartments, an 860,000-square-foot mall, office space, shophouses, and landscaped parks. It also features a luxury hotel, a 500-bed international hospital, and university facilities—creating a self-contained vertical community where nearly everything is within walking distance.

At its core stands the Pollux Habibie Financial Center & International Hotel, a 100-story tower that will rise approximately 400 m (1,312 ft). Upon completion, it will become the tallest building in Indonesia outside Java, surpassing even Singapore’s iconic Marina Bay Sands. Just five minutes from the Batam Centre ferry terminal, Meisterstadt offers convenient access to Singapore and the broader region.

The project is being developed in phases. Phase 1—which includes four residential towers and 113 shophouses—was largely completed by late 2019. Full completion of the remaining towers, along with the hospital and hotel, is expected by late 2028.

Archer and Joby Take the Lead in the eVTOL Race

The electric air taxi market is accelerating quickly. Powered by eVTOL aircraft, this emerging sector is built around vehicles that, like helicopters, can take off and land vertically without runways—ideal for dense urban areas. But eVTOLs offer clear advantages: they’re quieter, emission-free, more affordable to operate, and easier to integrate into cities thanks to electric propulsion and simpler mechanics. The two leaders in this space are Archer Aviation and Joby Aviation, both of which are rapidly scaling and raising significant amounts of capital.

Archer just raised $850 million in a direct offering following a White House executive order to accelerate eVTOL deployment, bringing its liquidity to approximately $2 billion. The funds will support infrastructure, international launches (including the UAE), and development of an AI-powered aviation software platform. Archer will showcase its Midnight aircraft at the Paris Air Show and is coordinating with federal agencies as the air taxi provider for the 2028 Los Angeles Olympics.

In February 2025, Archer struck a major deal with United Airlines. United Airlines has placed a conditional order for 200 of Archer’s Midnight eVTOL aircraft. The two companies are partnering to launch air taxi routes in cities like New York and Chicago, integrating Archer flights into United’s passenger booking system. Also in February, Archer raised about $300 million from BlackRock and Wellington to develop Archer’s defense subsidiary.

Joby Aviation has been even more successful in raising a war chest. The company has raised about $2.7 billion to date through private rounds, a SPAC merger, and strategic investments, including $590 million from Toyota in 2020 and a $250 million tranche in 2025.

Joby has made significant progress toward FAA certification and commercial launch. As of May 2025, Joby had completed over 40% of FAA’s Stage 4 testing, with successful pilot-on-board test flights accelerating its Type Inspection Authorization phase. On the partnership front, Joby has built a strong commercial foundation through alliances with Toyota (manufacturing and funding), Delta Air Lines (investment and airport integration), and the acquisition of Uber Elevate (software and network planning). Internationally, it has secured agreements with Virgin Atlantic (UK) and ANA (Japan), supporting its plans to launch commercial air taxi services in Dubai by early 2026 and U.S. cities like New York and Los Angeles shortly after.

Big Deals

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