If all the things you describe came to fruition, the current residents will have to live with the consequences of their decisions and suffer a lower quality of life (which they don't want to do), and the problem would resolve itself.
Or in reality, desirable locations remain desirable, and the current residents who had a hand in making it desirable have a right to prevent a reduction of their quality of life for the benefit of people who would prefer to live there but are unable to successfully compete with others in the housing market.
Excessive land use restrictions and downzoning inherently reduce the "compete" of the housing market, on purpose, for winners of prior cycles (frequently the deceased relatives of current owners).
Comments
If all the things you describe came to fruition, the current residents will have to live with the consequences of their decisions and suffer a lower quality of life (which they don't want to do), and the problem would resolve itself.
Or in reality, desirable locations remain desirable, and the current residents who had a hand in making it desirable have a right to prevent a reduction of their quality of life for the benefit of people who would prefer to live there but are unable to successfully compete with others in the housing market.
Excessive land use restrictions and downzoning inherently reduce the "compete" of the housing market, on purpose, for winners of prior cycles (frequently the deceased relatives of current owners).