Through the entire gameplay video you can see heavy physics in use. Secondly, all events are scripted in any game, elswise nothing would happen. even a single boulder falling and you rolling it around. That isn't CGI. To run such a thing in real time requires real resources and it wasn't just the roads. They react to your movement as well as the building in the back ground all while managing you characters with their physics and abilities at 60 FPS all with fluid, detailed animation. Nice try, with the attempt at throwing shade over that one scene though.
Third(in case you were unware), even the original Wii could handle strategy amd physics on a high scale.
There is a difference between stuff like the road cracking up due to a script which all games do, AKA baked physics and realtime physics. prebaked uses very little proccessing power and all games use it and there is nothing special about anything I have seen on the Wii U. Saying that Wii games also have physics does nothing to help your case of the Wii U having physics beyond what is on the PS3/360.
There is nothing in P-100 that looks better than games of current gen even for prebaked physics, take this scene from Uncahrted 2 which combines prebaked physics with the building collapsing plus realtime physics for the smaller objects.
You sound just like that dude from yesterday with that "looks better". How appealing you find it makes absolutely no difference. What is being done is what is being done. There is nothing extremely complex going on in that scene from Uncharted, its no where near a fluid, its not over a range that is as large, there are not 20 inidivdual characters on the screen at once with there own phsyics and animation, there are not as many texture effects in use, the lighting isn't a detailed and the textures themselves aren't nearly as high res.
The physics you are showing in Uncharted are simplistic. The Wii has used physics on that level believe or not, in elebits which was an unoptimized release game using early GC based dev kits. The game I showed you in the photo.