chore: @W-18521706@ update lwc dependencies to match Summer 25 release

Author: ravijayaramappa

package.json

@@ -7,8 +7,8 @@
   "dependencies": {
     "@inquirer/prompts": "^5.3.8",
     "@inquirer/select": "^2.4.7",
-    "@lwc/lwc-dev-server": "~11.5.0",
-    "@lwc/sfdc-lwc-compiler": "~11.5.0",
+    "@lwc/lwc-dev-server": "~12.3.1",
+    "@lwc/sfdc-lwc-compiler": "~12.3.1",
     "@lwrjs/api": "0.18.1",
     "@oclif/core": "^4.1.0",
     "@salesforce/core": "^8.6.2",
@@ -18,7 +18,7 @@
     "axios": "^1.7.9",
     "glob": "^10.4.5",
     "lightning-base-components": "1.27.2-alpha",
-    "lwc": "~8.12.5",
+    "lwc": "~8.16.5",
     "node-fetch": "^3.3.2",
     "xml2js": "^0.6.2"
   },
@@ -222,7 +222,7 @@
     "comment": "Refer to ApiVersionMetadata in orgUtils.ts for details",
     "target": {
       "versionNumber": "64.0",
-      "matchingDevServerVersion": "~11.5.0"
+      "matchingDevServerVersion": "~12.3.1"
     },
     "versionToTagMappings": [
       {