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What makes you guys think there is ambient occlusion on that house? To me, it looks like a somewhat highpoly model with normalmapping and specularity.
Because their bloom effect doesn't come over edges, it stays within the model. But you're probably right, it's probably or could just as well be normal mapping. Still, normal mapping usually doesn't give this glowy effect and they've already used ambient occlusion in their other games (Perfect Dark Zero, Kameo), Rare is generally quite underestimated when it comes to their technical talent.
http://www.xboxyde.com/forum_8_17763_1_en.html
Cheers
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