Trees AI (Part 2):
How do you actually transition a system?

A conversation between
Sebastian Klemm and Nathalia Del Moral Fleury

This is Part 2 from a short story series. In the first part, we got to know Chloe and Sofia, Dm collaborators, we explored city life and its intricate issues, and we explored the concept of well-being as a central indicator of urban success. In this second part, we get to meet Sebastian, discover the work that was done in Germany, and distill some of the key success factors for this work to have an impact.

If you are not reading this in a city with your windows wide open, or your city is missing trees, we invite you to play this soundscape to set the mood:

“How do you actually transition a system?”
I asked, flipping open my notebook.

Sebastian Klemm, a Dm collaborator, leaned back in his chair, a slight smile forming, I could see the answer wasn’t going to be theory: it was a lived experience.

“Well,” he said, “you start with the tools. But that’s never enough.” 

The conference had been buzzing with urgency, climate scientists, urban planners, city officials, all hunting for new levers to steer cities through accelerating ecological and social turbulence. For Sebastian, something clicked there. The conversations that took place in rooms and coffee breaks were the real ignition. He got in touch with the TreesAI team to co-write a funding application that week, and though the first round failed, they nailed it the second time. That win was Stuttgart, a testing ground. He stepped in part-time, slowly growing into what would become a full time role at Dm. He wasn’t alone. Dm was emerging as a unique player: part research studio, part systems engine, part myth-breaker. Its ambition? To build an operating system for commons-private governance.

In city after city, Sebastian saw the same pattern. The need for climate resilience was urgent, but siloed approaches and fragmented incentives made any real transformation feel elusive. “We started with logic,” he explained. “We built a dashboard, scoring risks across social, environmental, and economic dimensions. Overlaid demographic heat with poverty and climate vulnerability. It made sense. But it wasn’t enough.”

In Berlin, they changed tactics.

Instead of just crunching data and handing it to decision-makers, they invited the ecosystem in. City utilities like energy management, water, transport, joined the table. Financial institutions were engaged as co-designers beyond their role as funders. Citizen councils were looped in from the start. What emerged was a triangle of legitimacy: public, private, and civic. And the triangle had a common ground: the trees.

There was a plan to expand a train line. Innocuous in appearance, except it meant cutting trees. The cost-benefit calculation was as usual: the trees can be planted elsewhere, the compensation costs are minimal, and often replanting happened far from the impacted neighborhood. No benefits were taken into consideration.

“See the problem?” Sebastian asked. “The neighborhood loses shade, air quality, and emotional anchors, while some other parts of the city get a few saplings. It doesn’t fix the loss. It moves it.”

So they zoomed in, curious about what they would discover about the values the trees generated. The health costs are avoided thanks to cooling, stormwater retention, and biodiversity. They translated it all into numbers, mapped it into dashboards, and tied it to the lived experience of residents. Then came the reveal.

The Saturday Gathering

The setting was perfect in its ordinariness: the canteen of a local Berlin school, just refurbished. The faint smell of fresh paint lingered in the air. Chairs were neatly arranged, coffee was brewing in large thermos canisters, and plates of snacks lay waiting.

Despite being a weekend, every district lead showed up. The tension was palpable: this meeting followed a heated exchange over a proposed traffic reroute. People were skeptical, even angry.

“I remember waiting to go on stage,” Sebastian told me. “The room felt stiff, wired. We were nervous.”

Then he started speaking—about trees.

As he spoke, the mood shifted. “We didn’t say, ‘Trees are nice.’ We said: ‘Here’s what they do. Here’s the money they save you. Here’s what it costs to cut them down and not replace their function.’ And suddenly, people listened. You could feel it in the room—the interest and curiosity taking place.”

People weren’t just nodding, they were really leaning forward. It’s the first time they were seeing trees from this angle. Someone whispered to a neighbor. A city councilor took out his phone and began snapping photos of the slides. When the event ended, conversations kept going, in the hallway, by the snack table, and later over emails. That talk changed something. “I was able to speak to city councilors informally—like, duzen,” said Sebastian, using the familiar German “you.” “And we got alignment. We built a shared truth: that trees matter, economically and socially. To arrive there, our commissioned study was never the hero of the story. Its real power was catalytic – it set in motion a conversation that moved beyond numbers and dashboards, toward rethinking and consciously reshaping the ‘dark matter’ of how cities value and finance what sustains them.”

The impact is starting to ripple. The triangle (public service, civic actors, financial stakeholders) are beginning to evolve into a new kind of governance mechanism. It isn’t formalized yet, but we are in the process of it. 

Berlin became a living lab for systems integration. Stuttgart helped refine the tools. In Glasgow, roots had been planted. Now, they are starting to bear fruit. “Cities already have climate adaptation strategies,” Sebastian explained. “What they don’t have is integration. We bring ecosystem valuation and people into the same space.”

We are not product vendors trying to sell software. We are co-designers, willing to mould to context. 

Now they’re planning an open-source publication. A planning framework for cities that includes indicators like biodiversity ratios, retention values, risk profiles. Something that any city, from Berlin to Bogotá, could pick up and use.

“You know,” Sebastian said, as we wrapped up, “what we’re really doing is showing people a mirror. We help them see the city as alive, and their role in shaping it.”

And maybe that’s the real transformation:
From technical intervention to emotional ownership.
From risk dashboards to urban belonging.
From numbers… to meaning.

Life-Ennobling Economics Shifts

The Berlin story is an example of a local climate engagement that becomes a live prototype of systemic transformation, revealing how urban systems can move from extractive logic to a living, relational economy. Through the lens of Life-Ennobling Economics, we can understand the deeper shifts at play.

1. BEYOND PROPERTY
→ FROM OWNERSHIP TO STEWARDSHIP

From centralized control and commodified ownership
To collective stewardship of living urban assets

Urban systems are shifting from viewing trees as liabilities or amenities to recognizing them as shared civic infrastructure, part of a living commons that invites care, not just permission.

Traditional urban governance treats public assets as owned by a central body, managed, sold, or sacrificed based on short-term trade-offs. Trees, in this logic, are liabilities or amenities, not vital living infrastructure.

Shift: The project redefined trees as shared civic assets, with measurable value in cooling, stormwater retention, health, and biodiversity – but so much more.  By valuing them not for aesthetic but for service and relational worth, they become part of a commons logic.

Example: When trees were slated for removal for a train extension, the valuation reframed the debate. Instead of analyzing from a cost benefit approach, the community asked: What are we actually losing here? The conversation moved from permission to cut, to shared responsibility to care..

2. BEYOND MONETARY COLONISATION
→ FROM FINANCIAL REDUCTION TO MULTI-VALUE ALIGNMENT

From flattening complex value into financial efficiency
To integrating diverse forms of worth such as social, ecological, and emotional

Urban planning moves beyond cost-led decisions by aligning monetary language with deeper values, making the invisible visible and rebalancing what matters in decision-making.

Modern urban planning often collapses complex value into a single financial metric—usually cost-efficiency. This flattens life into ledger lines.

Shift: In Berlin, TreesAI used monetary language to reveal hidden value. Financial metrics were translated alongside social, ecological, and emotional dimensions to build richer, more resonant cases.

Example: The dashboard showed not just the cost of replacing trees, but the health costs of rising temperatures and infrastructure strain. Suddenly, what felt intangible became visible. Numbers served values, not the other way around.

3. BEYOND GOVERNANCE
→ FROM SILOED INSTITUTIONS TO RELATIONAL GOVERNANCE

From siloed authority and transactional roles
To relational governance rooted in trust and co-creation

Institutions, citizens, and financial actors come into alignment through shared authorship, felt trust, and emotionally intelligent collaboration.

Urban transformation is often constrained by rigid contracts and isolated actors. Institutions with misaligned objectives define responsibilities in narrow terms.

Shift: The Berlin model introduced relational governance: triangulating public services, civic groups, and financial institutions in a mutual learning and alignment process.  

Example: A preparatory workshop brought 10 civic leaders into shared authorship. After the Saturday event, relationships deepened. City councilors dropped formalities, began texting, and co-exploring. A new governance texture emerged: informal yet effective, emotional yet grounded, capable of navigating complexity together.

4. BEYOND EXTRACTION
→ FROM DEPLETION TO REGENERATION

From displacement and compensatory logic
To regeneration that honors place-based interconnection.

Nature is no longer treated as interchangeable or expendable. Instead, care becomes local, specific, and temporal, centering relationships, resilience, and ecological memory.

Cities often treat nature as something to be cleared or compensated for, removed in one area, replanted in another. The underlying logic is one of generalization and displacement, not context-specific regeneration. The financial market recognizes that geographical context makes something more or less valuable, an apartment downtown will be more expensive than a similar one far in the suburbs for example. How come that doesn’t apply to trees ? 

Shift: The work recognized that trees are not interchangeable—they are rooted in community. The loss of mature trees in one neighborhood cannot be offset with saplings elsewhere. Ecological services and emotional bonds are spatially and temporally bound.

Example: The train extension case revealed this clearly. The real cost of cutting was about interconnected benefits: to cooling shade, to clean air, and resilience against climate change. Replanting elsewhere did not regenerate the lost ecology of care for that specific area.