High demand for a place to offshore money != high demand for a place to live. The former is why the price per sqm is high. The latter would communicate that a place is actually nice to live in.
Maybe it should when the very future of that market is decided by those factors. If people aren't going to be living or utilizing those spaces the market value and actual demand will continue to deviate until at some point where it crashes and fucks over the people living there. Meanwhile the foreign investors, who likely won't be hurt by losing a property they didn't even use, won't give two shits.
It doesn't, but the question is about whether or not one wants to live in a location - which is only one of many market forces at play in determining rent prices.
