VEs (Virtual Environments) are one of the emerging areas of research which focus on the availability of digital replicas of physical environments. Traditionally, the use of VEs has been associated with gaming technologies and with industrial infrastructure applications. However, nowadays the use of VEs is getting mainstream with some of the modern applications such as smart homes, smart buildings, smart campuses, and even smart cities. One of the core aspects of creating VEs is 3D modelling of physical objects to create their virtual replica. Over the years, many solutions have emerged to facilitate the process of 3D modelling. However, there is no standard approach to showcase the complete process of 3D modelling of a VE for any smart building or a set of buildings (e.g. university campuses or cities). Recent works on building a digital twin of university campuses has shown promising results by combining 3D modelling and real-time monitoring through IoT sensors with a focus on real-world use-cases having a direct impact to improve quality of services for students and staff. This work presents a methodology for 3D digital modelling different types of physical assets and their integration into a VE of a university campus where students can interact with it in different LOD (level of detail) and immersion.