I have seen this happen over and over. This is the issue that should be front and center for elections but public doesn't know what is going on. Recently PE firm bought out the building which had oldest and only rock climbing gym. PE firm refused to renew their lease and forced to shut it down. The entire community of rock climbers basically died overnight. Lots of children growing up and learning this sport would not have opportunity that their parents did.
The disease of PE firm is very real. I am all for free markets but this is NOT free market. These are the cockroaches that get capital from funds that manages yours and mine 401K. They use that capital to kill local businesses, install new passive income generator like warehouse in order to cut all the costs and then sell it back to suckers for short term profits. The price of their profits are paid by huge negative impact on who continues in the area where they caused devastations.
It is not the free market because they are privileged through their connections to acquire massive amount of cash in form of credit. The trillions of dollars available in funds from banks and retirement funds are managed by just handful of entities. You and me don't fly in our private jets to play golf with CEOs in Palm Beach. You and me don't have privileged access to these entities to get $10M loan in blink of an eye to buy up a local Rock Climbing gym and shut them down overnight. They CAN and they DO. They use their massive credit leverage through privileged connections to destruct any businesses they want, extract short term profits and move on. In many ways, few entities have monopolies over such credit leverage and that's absolutely not free market.
There are an enormous amount of laws governing private equity. Clearly there is a lot of government control involved in the industry. Government actions basically makes PE possible in the first place.
The disease of PE firm is very real. I am all for free markets but this is NOT free market. These are the cockroaches that get capital from funds that manages yours and mine 401K. They use that capital to kill local businesses, install new passive income generator like warehouse in order to cut all the costs and then sell it back to suckers for short term profits. The price of their profits are paid by huge negative impact on who continues in the area where they caused devastations.