Disclosed are systems and methods for rule-based procedural generation of terrain in real time for a virtual world. Using the terrain editor tool, the terrain system allows defining and modifying the terrain height, color, shaders, textures, flora, and environment, for example. Additionally, generating the terrain procedurally allows for detail by changing the parameters used to create the terrain geometry. These rules can also be added and removed dynamically, leading to terrain modification in real time. In addition, resources are managed for the terrain generation system, such as memory allocation and deallocation.