in a very broad sense, yes. Many Environments use tiling textures or modular pieces, so it may be a little different in layout or thought process, but the basics is, model>UV>texture.
You would in the sense that yes, as tumorboy says, model->uv->texture. But definately not in the sense that you unwrap everything uniquely and paint it all on one texture. You want to do a lot of planing first, figure out where you can use tiling texture, which details need unique texture space, etc.
I would tend to model -> texture -> uv, in some areas, depending on how it's going to be laid out.
I'd probably rough out some really quick simple diffuse textures to get an idea of where you're going to use tiling textures, and where you need unique ones, then get unwrapping. Once the unwrap's pretty good, then you can bake normals if necessary, and detail out the textures, then tweak everything at the end.
I've worked on some projects where we were reproducing buildings and assets based off of real-world counterparts. In some of these instances I would rough in the model and UVs, then paste on photo textures, then do paint-by-numbers cuts and extrudes. It's not often that I do this, but it does make accuracy and texturing a lot easier in certain cases. It's a bit more involved than this little cliff notes summary, and there's a lot of back and forth between modeling, UVing, and texturing.
In general though, it is usually model > UV > texture.
Something I like to do is to not consider my UV Layout as sacred on it's first run and allways try to see if it fits better, mirror pieces across the border, tile. In that sense it's more of a cyclic circle instead of a linear progression.
model
> UV
^...................|
|- texture.....<
*edit: hmm it isn't really displaying my circle nicely with spaces
also, remember....you can maximize UV space by choosing what will be seen the most. for example, small overhangs on low ledges and what not...can be mega tiled and sized down so you can get max UV space for big faces of objects/buildings etc.
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I'd probably rough out some really quick simple diffuse textures to get an idea of where you're going to use tiling textures, and where you need unique ones, then get unwrapping. Once the unwrap's pretty good, then you can bake normals if necessary, and detail out the textures, then tweak everything at the end.
In general though, it is usually model > UV > texture.
model
> UV
^...................|
|- texture.....<
*edit: hmm it isn't really displaying my circle nicely with spaces