It's not strange at all, without zoning you get shops (and buildings) which extract all the shared value of a community and give nothing back.
I live in a tourist town in Norway. There are some nice shops. A nice cafe run by some Italians, a coffee place which started out as a church initiative (then got kicked out from their original locale when it turned out they were much, much better at selling good coffee than evangelizing) which has awesome concerts and an art gallery, to name two of my favorites.
There are also tourist tat shops. Dozens of them. One prominent one at the entrance to the main shop with a blinged-out AI generated moose. Oh, and casinos - I mean bingo places. They just extract money. The owners don't live here, so they don't care. They're parasitic, they might well go broke without the few positive externality shops around them - but they make more money than those decent shops. And landlords set the rent accordingly.
Of course there's one place where they do central planning, where they realize that externalities are crucial in retail and charge rent accordingly, and where there's not a single tourist tat shop. That place is the mall.
I get that if building homes somehow created more people. What we have now is people living in cars, people and their kids living in 1 room apartments, etc. and we're telling them "it is better for you to live in horrible conditions than it is for us to build new homes because we won't have all the amenities (half the time this is just code for 'parking') built by the developer"
So a child living in the middle of nowhere gets to never see their parent because that parent spend 4 hours a day commuting, because building flats in the city isn't allowed. Where is that kid going to daycare now?
> It's not strange at all, without zoning you get shops (and buildings) which extract all the shared value of a community and give nothing back.
I don't see that in Japan, which is very liberal in zoning. Taiwan is less liberal but doesn't pick which shops. Both are wonderful countries with vibrant, dynamic cities. We have friends in both places, and family in the latter, and life is quite pleasant.