I don't see how this would be much fun to work on in a team. We have enough trouble her squabbling over who gets to use the staging server next.
That said, the problem with debugging stands (for AWS lambda, at least).
I've set them up a few times for contact forms and other light pieces of functionality for static websites, and it fits that niche really well. Obviously, I think the serverless movement has some grander notions of the size and scale of applications that could be constructed, so we'll see.
If anything, it is easier with serverless, because you can branch pretty cleanly down to the single function level.
All you need is a level of indirection, usually at the domain and pathing level.
There's a plenty of good reasons to avoid SPAs.