HobbitFoot ,

I feel like the basic premise has different subgroups which vastly alters the reason why there is a ton of this infrastructure:

  • Seasonal tourism

Tourists come, but only for part of the year. The most extreme example would be Mecca, which gets flooded with religious tourists for a few weeks every year. However, most seaside towns and ski spots get included as well.

  • White elephant projects

The government builds something to attract tourists, and this is commonly tied an international event. The Olympics have left tons of modern ruins in its wake from governments overspending to attract tourists and gain prestige. There are also local convention centers and other projects meant to bring people in

  • General decline

You had an area that was once popular, but now isn't. Atlantic City, New Jersey is a good example, it was the only place to gamble on the US East Coast and therefore had tons of casinos and hotels. With the rise in Indian gaming and cheap flights to Vegas, going to Atlantic City stopped being as popular. You could also include rust belt cities which built out decent infrastructure for a population far larger than what they have.

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