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Sword and Shield had split off Let's Go sometime before December 2017 and at that point it was just a starter town, a bunch of 3D objects where things were supposed to be, and textures from Sun and Moon. There's definitely long term planning, but by the release of a mainline game they only have ideas. That totem thing in X&Y only ended up being a cheap souvenir and the battle facility hyped up by the hiker was just a tree.
