It makes sense if you expect to have a lot of employees based there, which I imagine they want. But it also seems odd to plan a big population center near to t

It makes sense if you expect to have a lot of employees based there, which I imagine they want. But it also seems odd to plan a big population center near to the launch site given the loud sonic booms it will be generating. And as you say, a city implies way more than just SpaceX employees, you also need all the services and infrastructure that people expect in life.