I think this is only partly about the need to keep the value of commercial real estate inflated.

I think there’s a more fundamental psychological motivation.

The illusion that the C-suite actually contributes value sufficient to arguably justify their obscene salaries depends in large part on them sitting in offices at the top of a building full of workers.

If the building is not full of workers, that threatens the illusion.

I think they’re analogous to people who would stand and watch a stoning, then congratulate themselves on not having thrown any rocks themselves.