This sounds like a ridiculous straw-man; who's pushing to take away freedom of people to not live on top of each other?
People advocating for suburbs to pay their fair share of taxes, and for less car subsidy, and for less restrictive zoning are not restricting freedom but increasing it.
Suppose you want to add an extra room to your house on your land that you ""own"" in this system. You would need to go prostrate yourself before some bureaucrat in city hall. Who then inevitably declines that variance because some busybody somewhere thought that it interferes with the ""neighborhood character"".
How can we even say that you own your own land if you are not allowed to build on it as you please? Where is the freedom in any of this?