I disagree.

Developers who are entrenched enjoy the fact it is hard to get a permit. Then, the specialty becomes navigating the system (which the surviving developers are de facto good at). It is hard for the best developers from other cities, who may be amazing at cheap/efficient/quality construction to challenge the incumbents in SF.

It is like saying that government contractors who build websites want the bid system to be simpler. In some ways they do, since on paper they would save a lot of money if they could get rid of their dozen employees who specialize in navigating it. At the same time, most government website contractors probably are not the best web developers - jsut the best at navigating the system.