The owner of the asset owns the upside.

Renters occupy and change the asset, but owners benefit.

Renters don't own the upside.

That leads to a very different satisficing mindset

"Why bother? The owner is the one that will benefit long-term, and I'll only benefit in the short-term while I'm here"

Vs an owner's maximizing mindset

"I get to benefit from this improvement and it also makes the asset more valuable to sell later"

Having more people in an ownership mindset creates more value.

The value owners create extends beyond the item itself into the surrounding community.

Renters might have to leave at any time, so they're all else equal less likely to invest in community relationships and other investments in the community.

Owners are there for as long as they want, so they're more likely to invest in relationships, community, shared infrastructure, trust.