You can't make rich people be poorer. If they want to live somewhere they will. Either they're going to out-bid the places that the townies live in now or they'll rent the nice new luxury places. Only in one situation do you have more total housing per sqft and less pressure on the housing market.

It's a studied fact that any kind of densified housing reduces overall rent prices in an area.

Luxury apartments are fine, pressure is still taken off existing housing. The only thing that matters is density.