But when I was at Google, we would schedule VC meetings with people in a different part of campus just to avoid the walk. Also, I worked on teams that had people worked out in many offices, mostly not Mountain View. I was surrounded by Googlers in an open-plan office, but it was often lonely. I ate alone sometimes. It was often not worth the commute.
I think Google having a company-wide policy on this is nuts. Teams vary a lot. They should probably be left to make their own decisions.