Half the buildings with empty spaces in SF are likely tied up in CMBSs with terms that state that the value of the building is based on the value its renting units out at, and if they lower the rent they have to recollateralize the loan, but they can just apply missed rent from empty units to the end of the mortgage.
https://www.reddit.com/r/nyc/comments/innhah/nearly_twothird...
The free market is about to create the commercial real estate version of the housing crash.
If so it's another correction that is sorely needed. Hopefully this time people are allowed to lose the money they richly deserve to lose.
Rent control, fed policy, etc, lead to certain types of land development being favored.