I need to distort my environments in large city areas, to make scenes like this possible:

It's like in TWEWY, the buildings will bend left and right as you move, but my engine uses tile maps for it's own simplicity, it consists of Isometrics and Orthos where it's necessary.
Anyway, the distortion needs to paint my tile map onto a polygon so it can bend it accordingly, but the main problem is how to translate the tile map to the polygon. I've considering finding a way to distort the
whole screen, but this would lead to problems as the environment will have unstatic npcs walking left and right across the side walk.
Another idea was to take a screenshot and render it in front of the tile map, but that'd would be even harder to keep from lagging the game so immensely. My final idea was to just draw the image separate from the tile map, but this led to a lot of collision syncing problems, as the tile map I've built can't slide the collision maps left and right, and are static (Set Polygons) because of the need for platform physics in other parts of the game. Now, I was thinking I could slide the image left and right instead, and I haven't explored this yet.
Anyway, give me your opinions on the subject, the question really is, "How do I distort the image above to slide the buildings left and right accordingly as seen in games such as TWEWY, without using 3d?"
Here's gameplay of TWEWY, it shows what I mean, just watch the buildings.
http://www.youtube.com/watch?v=uhwDlMR1plI&feature=results_video&playnext=1&list=PL15BFB27290E6E7A9