I think you've missed his point a bit. If I invested in a cigarette company and then a state decides that smoking can't happen within 5 meters of an eating area and this will affect cigarette sales I don't have a right to stop this law just because my investment might be hurt.

Same with Herbalife, it's considered a pyramid scheme and a scam by many people. Maybe one day the US government says they have to shut down because some new law passses targeting them. In my world, I don't think they should be allowed to stay open just because some investors might be hurt.

Property carries a risk just like any other investment and just because property was scarce at one point doesn't mean it needs to be forever. If the bay continues to have skyrocketing rents and no construction then eventually people will leave and the owner's investments will go to shit anyway.

If housing is a business like every other, then why can't the rules change? The rules change for other businesses all the time: from tax changes; new laws; new technology; changes in interest rates; investment climate; etc. The rules are always changing, and businesses have to adapt. Why would housing be immune from change?

You say it's all hard work.. then why be afraid of opening the market to more competition? They can put in some hard work at maintaining their position... like every other business in existence.