So if they don't care, then why would _I_ care that they don't care?
The problem is that when everybody leverages to the hilt and the whole area collapses, the rent prices stay high even when there's no one renting--which is bad for renters. And this continues in a gigantic game of chicken until some of the owners finally run out of cash and go bankrupt and everything collapses simultaneously which also isn't good for the end renter.
It's like the 2008 Wall Street crash. Lots of people knew what was going on. However, everybody knew that they were equally screwed whether they were responsible or not. So, they just rode the train and hoped they could cash out to the next sucker before the disaster.
And then we get the joy of everybody wailing that they need a bailout.
Yes if it has been financed in certain ways.
An empty space is assumed to be rented at the same rate as it was before being empty and that empty rent can normally be tacked onto the end of the financing as it is assumed to be a "temporary" thing.
However, if that space gets occupied for less money, the basis of the real estate adjusts and the financer can call up the owner and demand more cash since the basis changed.
Consequently, I have seen quite a bit of real-estate remain empty for years just to avoid having to adjust the cash basis.
This is one of those stupid-ass financial things that absolutely needs to get blasted in law.