If WFH becomes the norm for the majority, companies may not want to maintain expensive physical offices for people who can’t (or don’t want to) work from home.

I assume even limited living spaces in major cities include a bed, desk or couch, at least.

WFH doesn’t mean “only from home” anyway; you could work from any space you have access to. Parks, restaurants, if they allow it, which I expect they will, along with many other facilities popping up for remote work. It could actually create an interesting new industry of third-party office providers.