How is it resolving the DNS when we have PCF dev locally?

When we connect to https://local.pcfdev.io it basically redirects to console.local.pcfdev.io and again redirecting to uaa.local.pcfdev.io , which means it is connecting some how some where , where does this user authentication happen.

We have tried the setup to make use locally and it is not sucessful.(http://docs.pivotal.io/pcf-dev/work-offline.html).