I remember when LHs first came out, to much fanfare. The private estate owners I knew were very unhappy about it; they saw LHs as siphoning off all new residents from estates. And, even tho the LH sims were less than spectacular, I think that happened. Use of the Community Gateways that many estate owners had created to welcome newbies fell off dramatically. Without a steady stream of newbies, and with land pricing becoming less advantageous, private estates have not been growing.